EUR analysis 19.12.2019

The single currency fluctuated the euro in a narrow range slashing up during the Asian session against the US dollar amid the scarcity of economic data by the euro zone economies and on the cusp of developments and economic data expected Thursday by the US economy, the largest economy in the world.

At 05:16 am GMT, the euro pair rose against the US dollar by 0.12% to 1.1114 levels, after the pair achieved its highest level during the trading session at 1.1133, while achieving the lowest at 1.1113.

Investors are currently awaiting by the US economy, the largest industrialized country in the world, to reveal the reading of the Philadelphia Industrial Index, which may reflect a shrinkage in breadth to what amounted to 8.1 compared to 10.4 last November, in conjunction with the release of the current account reading, which may reflect a shrinking deficit to Its value is $ 122 billion compared to $ 128 billion during the past second quarter.

This also comes in conjunction with the issuance of the aid claims index for the week that passed on December 14th of this year, which may reflect a decline by 27 thousand requests to 225 thousand requests compared to 252 thousand requests in the previous weekly reading, while the reading of the subsidy applications index may explain to investors For the week that ended on the seventh of this month, an increase of 4 thousand requests to 1,671 thousand applications compared to 1,667 thousand requests.

Up to the disclosure of housing market data with the release of the index of existing home sales, which may show a decline of 2.1% to 5.44 million homes compared to a rise of 2.2% at 5.46 million homes in October, and this comes in conjunction with the issuance of the reading of the leading indicators, which may indicate an increase 0.1% versus a 0.1% decline in the previous reading in October.

Technical analysis

The euro against the dollar pair starts trading today with an upward tendency to move away from the level of 1.1108, which keeps the upside scenario present for the coming period, supported by the positive signal provided by the stochastic indicator now, waiting for more rise to achieve our positive goals that start at 1.1180 then 1.1280, noting the importance Hold above 1.1108 to continue the suggested ascending wave.

The expected trading range for today is between 1.1080 support and 1.1230 resistance.

Expected trend for today: bullish.