Euro/US Dollar (EUR/USD) Analysis
Summary
The EUR/USD pair showed significant gains on Thursday, closing above 1.0800 and breaking a three-day losing streak. The near-term outlook for the pair remains bullish, with technical indicators suggesting a lack of selling pressure at the moment.
Market Overview
- EUR/USD closed in positive territory above 1.0800 on Thursday.
- Improving risk sentiment and lower US Treasury bond yields supported the Euro’s strength.
- US stock index futures trade neutral on Friday, limiting the pair’s upside potential.
Technical Analysis
The EUR/USD pair broke out of a descending regression channel and stabilized above the upper limit. Key technical levels to watch:
- Resistance at 1.0835 (50-period SMA) and 1.0870 (200-day SMA).
- Support levels at 1.0800, 1.0760, and 1.0700.
EUR/USD Price This Week
The Euro (EUR) showed weakness against the US Dollar (USD) this week, with a percentage change of -0.38%. Here’s a summary of Euro’s performance against other major currencies:
| Currency | USD | GBP | JPY | CAD | AUD | NZD | CHF |
|---|---|---|---|---|---|---|---|
| EUR | 0.38% | 0.62% | 1.64% | 0.25% | 1.21% | 1.18% | 0.28% |
The heat map shows percentage changes of major currencies against each other, providing insights into currency movements.
EUR FAQs
What is the Euro?
The Euro is the currency for 19 European Union countries in the Eurozone, accounting for 31% of all foreign exchange transactions.
Role of the European Central Bank (ECB)
The ECB in Frankfurt manages monetary policy for the Eurozone, influencing interest rates and price stability.
Eurozone Economic Indicators
Data releases like inflation, GDP, and trade balance impact the Euro’s value, reflecting the region’s economic health.
Market Outlook
Investors await US Durable Goods Orders data for September, with a forecasted 1% decline. Risk sentiment and economic data will influence EUR/USD’s direction, with the potential for short-term volatility.