Back
1 Apr 2013
Forex: EUR/USD erases daily losses ahead of US manufacturing data
FXstreet.com (Barcelona) - The day started with a risk-off tone on suggestions that deposits over 100K in two Cyprus banks may be subject of more losses than the 30% tax previously thought, but the EUR/USD was able to bounce back from its low at 1.2772. The pair erased its gains back to the opening price, but is facing resistance there, which is keeping the market slightly on “red”.
The economic calendar will welcome March manufacturing PMI data in the US, with market consensus pointing to a rise from 54.3 to 54.9 of the Markit indicator, and a slight drop of the ISM figure from 54.2 to 54.1. “The US manufacturing sector is continuing to enjoy a period of rebound as the bounce back in domestic economic growth momentum is pushing new orders and production activity close to their highest level in almost a year. This positive momentum should be sustained in April”, wrote TD Securities analyst Alvin Pontoh.
“The consolidation pattern after 1.2750 low is still underway and the intraday bias is positive after 1.2770 low, for a rise towards 1.2890 resistance area”, wrote Deltastock.com analyst Stoyan Mihaylov, with an outlook on the senior time- frames remains negative for 1.2650 with a crucial level at 1.3050.
The economic calendar will welcome March manufacturing PMI data in the US, with market consensus pointing to a rise from 54.3 to 54.9 of the Markit indicator, and a slight drop of the ISM figure from 54.2 to 54.1. “The US manufacturing sector is continuing to enjoy a period of rebound as the bounce back in domestic economic growth momentum is pushing new orders and production activity close to their highest level in almost a year. This positive momentum should be sustained in April”, wrote TD Securities analyst Alvin Pontoh.
“The consolidation pattern after 1.2750 low is still underway and the intraday bias is positive after 1.2770 low, for a rise towards 1.2890 resistance area”, wrote Deltastock.com analyst Stoyan Mihaylov, with an outlook on the senior time- frames remains negative for 1.2650 with a crucial level at 1.3050.