EURUSD may “hibernate” for a while. Overview for 04.07.2019
The major currency pair is going to save strengths on Thursday – the macroeconomic calendar is empty and the USA are celebrating the Independence Day.
On Thursday morning, EURUSD stopped falling and started consolidating. The current quote for the instrument is 1.1284.
The USA published a lot of interesting numbers yesterday, but investors didn’t’ seem to have enough strength and time to respond to it properly. For example, the ADP Non-Farm Employment Change showed 102K in June after being 41K in May and against the expected reading of 140K. There is no direct correlation between the ADP and the NFP, but like we mentioned before, it may provide insight into sentiment in the sector.
The weekly report on the Unemployment Claims showed 221K after 229K the week before. However, the numbers are inside the usual range of 210-235K, that’s why market players’ response was pretty calm.
The Factory Orders in the USA lost 0.7% m/m in May, which is worse than expected (-0.4% m/m), and continued the negative tendency. The report is a component of the Durable Goods Orders report published earlier, so the decline wasn’t surprising, but additional indication of problems in the country’s production is not a good sign anyway. ,
The USA have a holiday today as they are celebrating the Independence Day. As a result, activities on the market may be less volatile.
In the afternoon, the Euro Area is scheduled to report on the Retail Sales for May, which is expected to add 0.4% m/m after losing the same in the previous month. However, this report is rather neutral for EURUSD.
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboMarkets bears no responsibility for trading results based on trading opinions described in these analytical reviews.
The material presented and the information contained herein is intended for our customers, and is for information purposes only and in no way should be considered as the provision of investment advice for the purposes of Investment Firms Law L. 87(I)/2017 of the Republic of Cyprus or any other form of personal advice or recommendation, which relates to certain types of transactions with certain types of financial instruments.