- – The Euro gained traction this week and moved above the 1.1700 handle against the US Dollar.
- – There is a monster bullish trend line with support at 1.1680 on the hourly chart of EUR/USD.
- – Today the Euro Zone Economic Confidence for July 2017 was released by the European Commission.
- – The outcome was above the forecast, as there was an increase in the Economic Confidence from 111.1 to 111.2.
Euro Zone Economic Confidence
Today the Euro Zone Economic Confidence for July 2017 was released by the European Commission. The market was positioned for a decline in the Index from the last reading of 111.1 to 110.8.
The actual result was above the forecast, as there was an increase in the Economic Confidence from 111.1 to 111.2. Moreover, the Services sentiment indicator also posted a better than forecast increase from the last revised reading of 13.3 to 14.1. On the other hand, the Business climate indicator was down by more than the forecast, and registered a decline from the last revised reading of 1.16 to 1.05.
Overall, the EUR/USD pair may correct a few pips lower, but it has many important supports like 1.1680 to hold losses.
EUR/USD Technical Analysis
The Euro mostly traded with a positive bias this week and moved above 1.1740 against the US Dollar. The EUR/USD pair traded as high as 1.1776 recently before starting a short-term correction below the 1.1750 support.
The pair traded lower and tested the 1.1650 support along with the 100 hourly simple moving average. The downside move was protected by a monster bullish trend line with support at 1.1680 on the hourly chart.
The pair is moving back higher and eyeing a break above the 50% Fib retracement level of the last decline from the 1.1776 high to 1.1649 low. Once buyers succeed in breaking 1.1720, there is a chance of EUR/USD gaining pace to retest the 1.1750 level or even 1.1770.
The overall trend is positive for the pair as long as the 1.1650-80 support area is intact in the near term for buyers.Tags: EUR/USD, EUR/USD Technical Analysis, Euro, US Dollar