4 Dec 2013
EUR/USD spikes 1.3590 on better PMI
FXstreet.com (Edinburgh) - The single currency managed to bounce off the area around 1.3570 after upbeat PMI results, lifting the EUR/USD to the boundaries of 1.3590.
EUR/USD still in red after data
The buying interest remains scarce on Wednesday, despite Services PMI results in the UME and Germany came in above expectations while the French and Italian readings came in on the softer tone. Next on tap will be EMU’s final GDP figures for the third quarter and October’s Retail Sales (0.9% YoY exp.). Derek Halpenny, European Head of Global Markets Research at BTMU, commented, “The ECB will update its GDP and inflation forecasts tomorrow and the latest updates should certainly leave open the prospect of more easing next
year… We do not expect any big changes but we maintain that inflation downside risks are much larger than being made out by the ECB at present”.
EUR/USD levels to consider
The pair is now down 0.06% at 1.3579 with the immediate support at 1.3561 (MA10d) ahead of 1.3525 (low Dec.2) and then 1.3515 (low Nov.26). On the flip side, a breakout of 1.3597 (high Dec.4) would open the door to 1.3614 (high Dec.3) and finally 1.3616 (high Dec.2).
EUR/USD still in red after data
The buying interest remains scarce on Wednesday, despite Services PMI results in the UME and Germany came in above expectations while the French and Italian readings came in on the softer tone. Next on tap will be EMU’s final GDP figures for the third quarter and October’s Retail Sales (0.9% YoY exp.). Derek Halpenny, European Head of Global Markets Research at BTMU, commented, “The ECB will update its GDP and inflation forecasts tomorrow and the latest updates should certainly leave open the prospect of more easing next
year… We do not expect any big changes but we maintain that inflation downside risks are much larger than being made out by the ECB at present”.
EUR/USD levels to consider
The pair is now down 0.06% at 1.3579 with the immediate support at 1.3561 (MA10d) ahead of 1.3525 (low Dec.2) and then 1.3515 (low Nov.26). On the flip side, a breakout of 1.3597 (high Dec.4) would open the door to 1.3614 (high Dec.3) and finally 1.3616 (high Dec.2).