The US Durable Goods Orders report has been released. The data came in at -0.4%, which was worse than the market consensus figure of 0.2%. The core component of this report, which carries more market impact, came in at 2.1%, which was better than the market consensus figure of 1.4%. The previous month’s Core Durable Goods report was revised downwards to 1.0%.
These figures are in conflict with each other, as one report is USD-positive and the other is USD-negative. As one report really does not override the other, the EURUSD has basically remained unchanged from the pre-news value of 1.11159. This level continues to remain the near-term support for the EURUSD, as it is the site of a previous low seen on Jun 12 and 14 July.
Further near-term support lies at 1.1079 (S1 pivot), and this is a possible target if price is able to break below the current support seen at the central pivot price. Price action on the Euro continues to be weighed down by talk of a stimulus package to be prepared by the ECB in its September meeting.
If the present support holds firm, then expect price to test the upside target at 1.11808, which is the low for August 6 to date.Don’t miss a beat! Follow us on Telegram and Twitter.
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