3 Jul 2013
EUR/USD a mixed bag
FXstreet.com (Barcelona) - EUR/USD is recording a high post data of 1.2985 and low 1.2944
EUR/USD is mixed on the release of an improved ADP employment report, and worsening trade balance. The ADP Employment Change (Jun) beat expectations reading 188k vrs 160k consensus and 134k previous while the Trade Balance for May read -$45.03B vrs an expectation of $-40.10B. There have been no major upsets based upon this information and the market keenly awaits the end of the week, when liquidity should re-enter the market place after 4th July holiday tomorrow and NFP's will be delivered. Prior to that, the market will hear the ECB's tone while price action has already indicated that there expectations for a more dovish rhetoric in the press conference.
EUR/USD support to hold
The 55 week moving average support line and the 2012-2013 uptrend and 78.6% retracement at todays lows are suspected to hold the initial test ahead of losses to 1.2796, then the 1.2740 April low. “We will remain immediately bearish while EUR/USD stays below 1.3103. We maintain a negative stance longer term while capped by 1.3414/39, the 200 week ma and the 2011-2013 resistance line”, said Karen Jones, analyst at Commerzbank.
EUR/USD is mixed on the release of an improved ADP employment report, and worsening trade balance. The ADP Employment Change (Jun) beat expectations reading 188k vrs 160k consensus and 134k previous while the Trade Balance for May read -$45.03B vrs an expectation of $-40.10B. There have been no major upsets based upon this information and the market keenly awaits the end of the week, when liquidity should re-enter the market place after 4th July holiday tomorrow and NFP's will be delivered. Prior to that, the market will hear the ECB's tone while price action has already indicated that there expectations for a more dovish rhetoric in the press conference.
EUR/USD support to hold
The 55 week moving average support line and the 2012-2013 uptrend and 78.6% retracement at todays lows are suspected to hold the initial test ahead of losses to 1.2796, then the 1.2740 April low. “We will remain immediately bearish while EUR/USD stays below 1.3103. We maintain a negative stance longer term while capped by 1.3414/39, the 200 week ma and the 2011-2013 resistance line”, said Karen Jones, analyst at Commerzbank.