EUR/USD: Traders await German data and US retail sales for further direction

  • EUR/USD trades near 1.1230 ahead of London open on Monday.
  • The pair failed to extend recent recovery as Fed Chair refrained from giving much importance to Friday’s NFP miss.
  • Upcoming details from Germany and the US could direct near-term moves.

EUR/USD struggles around 1.1230 while heading towards European sessions on Monday. The pair fall short of extending Friday’s NFP-backed recovery as recent comments from the Fed Chair Jerome Powell gave little importance to the data miss. Monthly readings of German trade balance and industrial production could offer intermediate moves ahead of diverting market attention to the US retail sales numbers.

On Friday, the EUR/USD pair recovered from a near thirty-month low after the US nonfarm payrolls missed +180K forecast by big time with +20K figure for February month. 

However, the buyers couldn’t rule on Monday as the Fed Chair maintained his outlook of the US economy and interest rates during latest appearances at the Stanford University and also at the CBS interview.

Seasonally adjusted January month industrial production and trade balance details from Germany can act as early trigger for the quote around 07:00 GMT followed by February month retail sales numbers from the US at 12:30 GMT.

The German industrial production and trade balance could support the EUR strength if matching +0.4% and Euro 21.0 billion market consensus versus -0.4% and 19.4 billion Euro previous numbers. Though, the US retail sales could blow the regional currency’s strength as the forecast suggests a +0.6% growth of the retail sales control group figure against -1.7% earlier decline. The retail sales (MoM) may recover to +0.1% from -1.2% whereas retail sales ex-autos could also rise by +0.3% versus -1.8% earlier figure.

EUR/USD Technical Analysis

In spite of bouncing off 61.8% Fibonacci retracement of its December 2016 to February 2018 uptrend, EUR/USD needs to conquer 1.1260 and 1.1330 in order to revisit 1.1375 including 50-day and 100-day simple moving averages (SMAs).

On the downside, 1.1210 and 1.1185 may offer immediate supports, a break of which can drag the pair toward June 2017 low near 1.1120 and then to 1.1100 round-figure.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD under pressure near 1.1380 ahead of Powell

EUR/USD sees fresh selling and tests daily lows near 1.1380 region amid a broad-based US dollar comeback, as all eyes remain on the Fed Chair Powell's speech for fresh insights on the US interest rates outlook. 


GBP/USD keeps gains near 1.2760 post-UK data

The GBP/USD pair keeps the bid tone intact near the 1.2760 region despite a sharp drop in the UK CBI Retailing Reported Sales and broad US dollar recovery. Eyes on Powell's speech. 


USD/JPY: bearish movement still far from a bottom

The USD/JPY pair remained under some selling pressure on Tuesday and dropped to fresh multi-month lows during the Asian session, albeit recovered few pips thereafter. BOJ considered the risks of prolonged stimulus as inflation refuses to pick up.


Gold consolidates recent upsurge to multi-year tops, comfortable above $1400 mark

Gold adds to the post-FOMC upsurge amid escalating geopolitical tensions. A modest USD uptick/stability in equity markets prompts some profit-taking. The downside remains limited ahead of Powell’s speech later this Tuesday.

Gold News

US Conference Board Consumer Confidence Preview: Employment sustains optimism

Income gains, employment and general economic prosperity support confidence. Decline in Q2 GDP not impacting sentiment. Low inflation and faling interest rates are positive consumer trends.

Read more