EURUSD analysis 15.04.2020

The single currency fluctuated the euro in a narrow range slanting back down during the Asian session to witness its rebound from the top since the beginning of this April against the US dollar on the cusp of developments and economic data expected today Wednesday by the French economy the second-largest economy in the euro area and its counterpart the American economy the largest economy in the world.

At exactly 05:02 AM GMT, the euro against the US dollar fell 0.05% to 1.0974 levels, which is the lowest level for the husband during the trading session compared to the opening levels at 1.0980, while the pair achieved its highest level during the trading session at 1.0991.

Investors are currently awaiting by the French economy the disclosure of inflation data with the release of the final reading of the consumer price index, which may reflect the stability of stability at zero levels, little changed from what it was in the preliminary reading of the previous month of March and the previous reading of last February. Otherwise, we followed yesterday, French Finance Minister Bruno Lemerre predicted that his country’s economy would shrink 8% this year.

French Minister of Finance Lemerre also noted yesterday, Tuesday, that some sectors such as restaurants and hotels in France will not be able to resume work from May 11 for health security reasons, explaining that partial unemployment continues, and this came hours after the French President Emmanuel expressed Macron earlier this week extended emergency measures in France for a month, as part of efforts to tackle the outbreak of the Coronavirus.

On the other hand, investors are currently awaiting by the US economy the disclosure of retail sales reading, which represents about half of consumer spending, which represents more than two-thirds of the gross domestic product of the United States, which may reflect the widening decline for the worst ever to 8.0% compared to 0.5% in February February, as the core reading of the same indicator may also show the widest decline for the worst ever to 4.9% compared to 0.4% in February.

This comes in conjunction with the disclosure of industrial sector data for the largest industrial country in the world with the release of the New York Industrial Index reading, which may reflect the widening of the contraction to 35.2 compared to 21.5 in March, before the release of the Industrial Production Index, which may reflect a 4.1% decline compared to It rose 0.6% in February, while an energy utilization rate reading may show a slowdown in the pace of growth to 73.7% compared to 77.0% in February.

Markets are also looking to publish a reading of the wholesale stocks index, which may explain the decline in the decline to 0.4% compared to 0.1% in January, in conjunction with the disclosure of housing market data with the release of the housing index reading by the National Association of Home Builders, which may reflect a decline to 56 versus 72 in February, all the way to the unveiling of the Big Book, which is important because it is published two weeks before the FOMC meeting.

In another context, we have followed the World Health Organization expressed last Monday that the world has not reached the height of the Corona virus outbreak, warning against easing restrictions on citizen movements and the possibility of a new wave of virus outbreak, and it is reported that US President Donald Trump also tweeted Monday through his personal account on Twitter is one of those who has the power to reopen his country's economy and lift movement restrictions on citizens, not state governors in his country.

We would like to point out, because many state rulers in the United States of America have expressed their refusal to see the Republican President of the United States as authorized to reopen the economy, led by New York State Governor Andrew Como, who stated that Trump is wrong and does not have full authority over the United States, explaining that reopening America must To be gradual and balanced, and that the tests will determine future decisions, adding that the current tests do not allow reopening.

Technical analysis

The euro against the dollar pair breached the level of 1.0966 and closed the daily candle above it, to activate the bullish trend scenario on the intraday and short term, which is organized inside the bullish channel that appears in the picture, waiting for the direction towards 1.1067 as the next main target.

Consequently, the bullish bias will be likely during the upcoming sessions, supported by the EMA50 that carries the price from below, noting that breaking the 1.0966- 1.0950 levels will stop the expected rise and press the price to decline again.

The expected trading range for today is between 1.0900 support and 1.1070 resistance.

Expected trend for today: bullish.