for the third time last week EUR/USD closes at the open price, the market is still uncertain
week filled with uncertainty is coming...
EUR/USD: Euro Maintains Gains Above $1.10
The shared European currency added firmer gains ahead of the opening bell, driven by a softer US dollar, which weakened on downbeat US housing data.
The euro remains elevated and holds above the $1.10 handle, with EUR/USD adding 0.29% to $1.1007.
The European trading session will offer the closely watched survey of the Ifo Business Climate Index in Germany, which is expected to edge up to 107.5 in July, from the 107.4 booked in the sixth month of the year.
Worse-than-expected data from the US dragged the USD lower across the board. In contrast with recent readings on the residential sector, sales of new homes surprised on the downside by retreating to the lowest levels since last fall.
Sales of new one-unit homes fell 6.8% in June, dipping to an annualized rate of 482,000 units, missing by a wide margin the 548,000 mark the markets had been expecting. Furthermore, the May reading was revised down sharply to 517,000 sales from the original 546,000 unit sales, fresh figures from the Department of Commerce showed on Friday.
Market participants will be holding their breath for the Federal Open Market Committee (FOMC) meeting at the top of the week.
The FOMC has been biding its time and hoarding information to prepare for the fall when most analysts expect policymakers will have digested enough data to agree on a small, 25 basis point rate increase, the first hike since 2006.
EUR did not change significantly on Friday despite a relatively volatile session. The pair failed to break the levels at 1.0994 by which followed a drop to 1.0924. Ultimately, the euro recorded a successful week, gaining 1.4% against the dollar to 1.0977.The relative strength index passed in positive territory, but the pair remains below 100-period moving average. Break of 1.1020 will target EUR / USD at 1.1080.
Eurozone M3 money supply June yy 5.0% vs +5.1% exp
Latest money supply data now out
On Friday session the EURUSD pair moved back and forward with lack of direction closing in the red near the open of the day on a narrow range day, making an inside day. Although the currency did not moved much it managed to close above the 10-day moving average for the 2nd day in the row, suggesting that short term bulls are in control and we may expect an upward move to Fibonacci level of 38.2% (resistance) at 1.1058 or even to a daily resistance at 1.1097.
EUR/USD finally broke above the resistance at 1.1000 and then the one at 1.1080 that coincides with the (89)MA on the daily filter chart. The pair is probably headed towards target 1.1170.
On D1 you see nice consolidation below 1.147 and the next 14-18 days it should reach it again, maybe a bit higher.
looks like EUR/USD is testing 1.1100 after a gain of 100 pips but Iam still with the trading with cautious idea until I see a clear signal.
EUR/USD surges more than 1%, as investors await start of Fed meeting
EUR/USD surged on Monday enjoying one of its highest one-day gains in nearly a month, as investors await the Federal Open Market Committee's two-day meeting starting on Tuesday for further hints on the timing of a highly-anticipated interest rate hike.
The currency pair traded between 1.0969 and 1.1129 on Monday before settling at 1.1091, up 1.08% on the session. The euro closed above 1.10 against its American counterpart for the first in almost two weeks, after posting its third win in the last four sessions.
EUR/USD likely gained support at 1.0826 the low from July 17 and was met with resistance at 1.1218, the high from July 10.
On Monday, the U.S. Department of Commerce said total durable goods orders for the month of July rose by 3.4%, above expectations of a 3.1% gain. Durable goods received a boost from transportation, the subset in which aircraft orders are measured. Excluding transportation, durable goods rose 0.8% above consensus estimates of a 0.5% monthly gain.
Orders for Core durable goods, which also excludes airlines data, rose by 0.8% for July, above expectations for a 0.5% gain. Defying a long-term trend, total durable goods order increased on a monthly basis for only the third time since last July.
The U.S. Dollar Index, which measures the strength of the greenback versus a basket of six other major currencies, plunged more than 0.9% to an intraday low of 96.47. Last week, the index surged to a three-month high at 98.31.
While the FOMC is not expected to raise rates on Wednesday after the completion of its July meeting, it could provide strong indications of whether lift-off could take place during its meeting in September. The Fed has kept short-term rates at its current level between zero and 0.2% since the end of the Financial Crisis in an effort to jumpstart the U.S. economy. Nearly a decade has passed since the Fed has raised its benchmark Federal Funds Rate. Earlier last week, Federal Reserve of St. Louis president James Bullard said there is a 50% chance the FOMC will raise rates during its September meeting.
In Europe, officials from the International Monetary Fund confirmed Monday that technical talks over a comprehensive bailout for Greece are getting underway. Also, reports surfaced on Monday that prime minister Alexis Tsipras is considering holding an election on Nov. 8, as his support in his Syriza party dwindles. Tsipras celebrated the start of his sixth month in office on Monday. Y
Yields on U.S. 10-Year Treasuries fell four basis points to 2.22%, while yields on Germany 10-Year Bunds remained flat at 0.69%. Yields on U.S. 10-year Treasuries are now down 25 basis points over the last year.