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7 Oct 2013
EUR/USD opens higher but this bounce has all the signs of a corrective bounce
FXstreet.com (Barcelona) - The EUR/USD has had a nice run recently and is now apparently going through a short-term correction to the downside.
Focus to continue to be on the DC – but on data as well
EUR/USD traders will have to continue to be aware of the headlines emanating from Washington, DC, but there will be plenty of other potential drivers for the cross this week:
• Monday – EuroZone Investor Confidence; US Consumer Credit
• Tuesday – German Trade Balance; German Factory Orders; US Trade Balance; US Fed Head speeches
• Wednesday – ECB Monthly Report; German Industrial Production; US mortgage applications; US 10-Year Note auction; US FOMC meeting minutes; Mario Draghi speech
• Thursday – US import/export prices; US weekly jobless claims; multiple Fed Head speeches; US 30-Year Bond auction; Mario Draghi speaks again
• Friday – Inflation data from Germany, Spain and Italy; US monthly jobs report; US PPI; US retail sales; US University of Michigan Consumer Sentiment; US Business Inventories
Technical outlook for EUR/USD
Technicians say the EUR/USD appears to have set a short-term top at 1.3645 on Thursday and now it appears that it is correcting lower for a few days. The next resistance above 1.3645 comes in at 1.3682. Support for the cross comes in at 1.3472 and then 1.3461.
Focus to continue to be on the DC – but on data as well
EUR/USD traders will have to continue to be aware of the headlines emanating from Washington, DC, but there will be plenty of other potential drivers for the cross this week:
• Monday – EuroZone Investor Confidence; US Consumer Credit
• Tuesday – German Trade Balance; German Factory Orders; US Trade Balance; US Fed Head speeches
• Wednesday – ECB Monthly Report; German Industrial Production; US mortgage applications; US 10-Year Note auction; US FOMC meeting minutes; Mario Draghi speech
• Thursday – US import/export prices; US weekly jobless claims; multiple Fed Head speeches; US 30-Year Bond auction; Mario Draghi speaks again
• Friday – Inflation data from Germany, Spain and Italy; US monthly jobs report; US PPI; US retail sales; US University of Michigan Consumer Sentiment; US Business Inventories
Technical outlook for EUR/USD
Technicians say the EUR/USD appears to have set a short-term top at 1.3645 on Thursday and now it appears that it is correcting lower for a few days. The next resistance above 1.3645 comes in at 1.3682. Support for the cross comes in at 1.3472 and then 1.3461.