Euro Analysis 30-05-2019

The single currency of the European Union region fluctuated in a narrow upward range during the Asian session to see its rebound to its second lowest session since May 23, when its lowest since May 19, 2017 against the US dollar, Economic data by the Euro-zone economies on the eve of developments and economic data expected Thursday by the US economy.

At 0511 GMT, the EURUSD rose 0.05% to 1.1137, compared to the opening at 1.1131, the pair's low during the session, while the highest at 1.1143.

Investors are currently waiting for the US economy to release the second GDP reading, which may reflect the world's largest economy expanded 3.1% in the first quarter compared to the previous preliminary reading of 3.2%, while the second reading of GDP may show stabilization of growth At 0.9%, unchanged from the previous reading.

This comes in conjunction with the reading of the index of requests for aid for the week ending May 25, which may reflect a rise of 5 thousand applications to 216 thousand applications compared to 211 thousand requests in the previous weekly reading, and the disclosure of the trade balance index of goods, which may show widening deficit To $ 72.0 billion compared to $ 71.4 billion in March.

And also in conjunction with the initial reading of the wholesale stocks index, which may show a rise of 0.2% against a 0.1% decline in March, before we witness the release of housing market data with the release of existing home sales, which may indicate a slowdown in growth to 0.9% versus 3.8% March, to the talk of Deputy Governor of the Federal Reserve and member of the Federal Open Market Committee Richard Clarda at the New York Economic Club.

Technical Analysis

Yesterday, the EURUSD traded with negative resistance to reach our first target at 1.1100, reinforcing expectations for a continuation of the bearish trend over the coming sessions, with a reminder that breaking this level would push the price towards 1.1000 as the next major station.

Therefore, we will continue to bias the bearish trend supported by SMA 50 unless the 1.1255 level is breached and stability is maintained with a daily closing above it.

The trading range for today is expected between 1.1050 and 1.1200 support

The general trend for today is bearish