EURUSD Hits Daily Low After Upbeat ISM Manufacturing PMI
EURUSD gives up 0.42% at 1.1047 after stronger than expected ISM Manufacturing PMI. The figure came in at 50.9 topping expectations of 48.5 in January. The business has picked up in January. While tariffs are still a concern of higher prices. Many of the suppliers are working at full capacity. The ISM Manufacturing Prices Paid came in at 53.3 beating expectations of 51. The ISM Manufacturing New Orders Index registered in at 52, topping expectations of 50.8. The January U.S. Manufacturing PMI data reading came in at 51.9, beating the expectations of 51.7.
Euro failed to capitalize on upbeat PMI data out of Europe. The European Monetary Union Manufacturing PMI came in at 47.9 topping expectations of 47.8 in January. The Germany Manufacturing PMI came in at 45.3 above expectations of 45.2. The France Manufacturing PMI also beat forecasts it came at 51.1 above the expectations of 51.
EURUSD gives up over half of the Friday’s gains as USD advance across the board. The pair managed an impressive rebound on Friday adding about 80 pips breaking above the 100-day moving average. The pair stalled at 1.1095 the 50-day moving average. Sellers were strong today since the Asian trading session while as of writing the pair hovers again below the 100-day moving average.
On the downside first support for EURUSD stands at 1.1034 the daily low. If the pair breaks below the bears will seize control of the trend and lower levels would follow. Next support area would be met at 1.1016 the low from Friday’s session. While a break below might test the low from January 29th at 1.0991.
On the other side, initial resistance for the pair stands at 1.1092 the daily top. If EURUSD move above that level might attract more bulls for an attempt to recapture the 200-day moving average at 1.1125. The next resistance for EURUSD stands 1.1238 the high from December 31st.