The Euro faced selling pressure this past week, but remained above the 1.0610 support against the US Dollar.
There is a major resistance formed at 1.0675 and 1.0690 on the 4-hours chart of EURUSD.
Recently in the US, the NY Empire State Manufacturing index for April 2017 released by the Federal Reserve Bank of New York posted a decline from 16.4 to 5.2.
Today, the US Industrial Production data for March 2017 will be released by the Board of Governors of the Federal Reserve, which is forecasted to increase by 0.5%.
EURUSD Technical Analysis
The Euro after trading as low as 1.0570 against the US Dollar found support, and started a recovery. The EURUSD is correcting higher, but faces a major resistance near 1.0675 and 1.0690.The pair recently traded near the 23.6% Fib retracement level of the last decline from the 1.0906 high to 1.0570 low. However, it faces a major hurdle near 1.0675, as the 200 simple moving average (H4) is positioned.Moreover, there is a contracting triangle pattern with resistance near 1.0670 on the 4-hours chart. Furthermore, the 100 simple moving average (H4) is waiting on the upside at 1.0690 to act as a resistance. On the downside, the 1.0610 is triangle support.Overall, it looks like the pair may trade in a range before attempting an upside break above 1.0690.
NY Empire State Manufacturing Index
Recently in the US, the NY Empire State Manufacturing index for April 2017 was released by the Federal Reserve Bank of New York. The market was not aligned for any major decline in the index from the last reading of 16.4 in April 2017.The real outcome was disappointing, as the NY Empire State Manufacturing index posted a decline to 5.2. The new orders index fell sharply in April to 7.0, and on the other hand, the shipments index moved up to 13.7, signaling further improvement in shipments.The report added that “Input prices and selling prices rose at a modest pace again this month. Indexes assessing the six-month outlook continued to convey a fairly high degree of optimism about future conditions”.
Economic Releases to Watch Today
US Industrial Production March 2017 (MoM) – Forecast 0.5%, versus 0% previous.
US Capacity Utilization March 2017 – Forecast 76.2%, versus 75.9% previous.
US Housing Starts March 2017 (MoM) – Forecast 1.250M, versus 1.288M previous.
US Building Permits March 2017 (MoM) – Forecast 1.250M, versus 1.216M previous.
The pair recently traded near the 23.6% Fib retracement level of the last decline from the 1.0906 high to 1.0570 low. However, it faces a major hurdle near 1.0675, as the 200 simple moving average (H4) is positioned.Moreover, there is a contracting triangle pattern with resistance near 1.0670 on the 4-hours chart. Furthermore, the 100 simple moving average (H4) is waiting on the upside at 1.0690 to act as a resistance. On the downside, the 1.0610 is triangle support.Overall, it looks like the pair may trade in a range before attempting an upside break above 1.0690.
The real outcome was disappointing, as the NY Empire State Manufacturing index posted a decline to 5.2. The new orders index fell sharply in April to 7.0, and on the other hand, the shipments index moved up to 13.7, signaling further improvement in shipments.The report added that “Input prices and selling prices rose at a modest pace again this month. Indexes assessing the six-month outlook continued to convey a fairly high degree of optimism about future conditions”.