Tuesday, May 30, 2023

Euro Remains Flat | Investing.com


At the end of last week, the stayed almost unchanged despite the fact that the macroeconomic calendar was rich in market-driving data. The single currency was slightly volatile only in anticipation of the final data on euro area inflation, which coincided with the preliminary estimate.

The report confirmed a slowdown in growth to 1.9% from 2.0%. Although market participants were not surprised by the figure as they had already priced it in, the euro showed a slight increase. Yet, almost immediately it returned to the previous value where it remained throughout the trading day.

Euro area inflation

Notably, investors practically ignored the US report. The figure was supposed to decline by 0.5% but, on the contrary, it rose by 0.6%. So, consumer activity, which is the driver of the US economy, is constantly growing instead of decreasing as previously thought. Yet, in annual terms, retail sales dropped to 18.0% from 27.6%.

However, the indicator may be a bit inaccurate due to the low base effect. The euro continues to trade sluggishly. Today, the macroeconomic calendar is completely empty, so the market will also remain flat.

US retail sales

The EUR/USD pair ended the last trading week without significant changes. It remained at the support level of 1.1800, moving in the range of 1.1795/1.1825.
The market dynamic has slowed down after a bullish momentum. However, investors may have just started opening long positions and soon the trading activity may be high again.

The quote is currently fluctuating at 1.1795/1.1825.

This is why the optimal trading strategy is to wait for a breakout of a particular boundary of the 1.1795/1.1825 levels.

As for the complex indicator analysis, on the minute and hour charts, there is a variable buy/sell signal for the pair due to sideways movement. The daily chart signals short positions.

InstaForex Group

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source link


Please enter your comment!
Please enter your name here



Related Stories