EUR/USD today: the euro is limited by the correction

After yesterday’s trading, according to the results of which the EUR/USD pair closed the day with a decrease, but earlier the euro received short-term support on the statement of the ECB representatives that there will be no rates cuts in the eurozone. These manipulations have not yielded any results. A  EUR/USD pair remained under the pressure from risks in Europe.

Events for today:

• 15:30 – the US data will be released: core price index for personal consumption expenses (y/y) (July), the price index for personal consumption expenses (y/y) and the personal spending (m/m) (July).
• 16:45 – the business activity index (PMI) in Chicago (Aug) USA will be announced
• 17:00 – the index of expectations and consumer sentiment from the University of Michigan (Aug) in the United States will be released.

In the first half of the day, preliminary data on inflation in the eurozone were published, which were more in line with forecasts and had no impact on the market.

The EUR/USD pair remains under the pressure from the US dollar after the US and China announced trade negotiations. Tension persists despite general reduction of risks, it limits the growth of risky assets. The decline in the euro is more related to the possibility of stimulating the eurozone economy and the risks of a tough Brexit. This pair is limited by the downtrend and trading range from resistance levels 1.1050-60 to support levels: 1.1010-00.

Read also: “Gold: results and forecasts”

Hanzenko Anton

 

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