{"id":127806,"date":"2018-06-01T07:22:06","date_gmt":"2018-06-01T11:22:06","guid":{"rendered":"http:\/\/countingpips.com\/?p=127618"},"modified":"2018-06-01T07:22:06","modified_gmt":"2018-06-01T11:22:06","slug":"eurusd-euro-consolidating-ahead-of-the-npf-report-and-spanish-parliament-vote","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2018\/06\/eurusd-euro-consolidating-ahead-of-the-npf-report-and-spanish-parliament-vote\/","title":{"rendered":"EURUSD: euro consolidating ahead of the NPF report and Spanish parliament vote"},"content":{"rendered":"<div id=\"inves-83321351\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">June 1, 2018<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p><strong>By Gabriel Ojimadu, Alpari<\/strong><\/p>\n<div class=\"reviews-item__content\">\n<p><strong>Previous:<\/strong><\/p>\n<p>On Thursday the 31<sup>st<\/sup>\u00a0of May, trading on the EURUSD pair closed slightly up. Despite the fact that the euro dropped to 1.1641, it managed to recover to 1.1700 by the end of the session. This recovery was the result of reduced pressure on the single currency. Giuseppe Conte is set to be sworn in as Italy\u2019s Prime Minister today, along with his cabinet, having gained the approval of the president.<\/p>\n<p>The new Finance Minister will be economics professor Giovanni Tria. Eurosceptic Paolo Savona, who was vetoed as Finance Minister, has been appointed Minister of European affairs.<\/p>\n<p>In the US session, riskier assets declined on the back of new developments in the trade dispute between the US and the rest of the world. US Commerce Secretary Wilbur Ross announced that from the 1<sup>st<\/sup>\u00a0of June, tariffs would come into effect on steel (25%) and aluminium (10%) imports from Canada, Mexico, and the EU. The US has imposed the condition that should anyone impose their own counter measures in response to the tariffs, continued negotiations will become impossible.<\/p>\n<p><strong>US data:<\/strong><\/p>\n<ul class=\"list list_type_disc\">\n<li>Initial jobless claims (25 May): 221,000 (forecast: 228,000, previous: 234,000).<\/li>\n<li>Personal income (Apr): 0.3% (forecast: 0.3%, previous: 0.2%).<\/li>\n<li>Personal spending (Apr): 0.6% (forecast: 0.4%, previous: 0.5%).<\/li>\n<li>Chicago PMI (May): 62.7 (forecast: 58.0, previous: 57.6).<\/li>\n<li>Canada \u2013 GDP (Q1): 1.3% YoY (forecast: 1.8% YoY, previous: 1.7% YoY).<\/li>\n<\/ul>\n<p><strong>Day\u2019s news (GMT+3):<\/strong><\/p><div id=\"inves-3536933943\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n<ul class=\"list list_type_disc\">\n<li>10:30 Switzerland: SVME \u2013 PMI (May).<\/li>\n<li>10:50 France: Markit manufacturing PMI (May).<\/li>\n<li>10:55 Germany: Markit manufacturing PMI (May).<\/li>\n<li>11:00 Eurozone: Markit manufacturing PMI (May).<\/li>\n<li>11:30 UK: Markit manufacturing PMI (May).<\/li>\n<li>15:30 USA: unemployment rate (May), nonfarm payrolls (May), average hourly earnings (May), average weekly hours (May), labour force participation rate (May).<\/li>\n<li>16:45 USA: Markit manufacturing PMI (May).<\/li>\n<li>17:00 USA: ISM manufacturing PMI (May), construction spending (Apr).<\/li>\n<li>20:00 USA: Baker Hughes US oil rig count.<\/li>\n<\/ul>\n<p><img decoding=\"async\" src=\"https:\/\/alpari.com\/data\/media\/cms\/images\/01.06.18_EURUSD_H1_5b1102fb5a79c.png\" alt=\"\" \/><\/p>\n<p align=\"center\">Fig 1. EURUSD hourly chart. Source: TradingView<\/p>\n<p>During Thursday\u2019s European session, the euro rose to 1.1724. The single currency broke through the trend line and continued its upwards trajectory to the U3 MA line, just as I expected. Since the euro subsequently dropped from the U3 MA line to 1.1641, this confirmed the breakout of the trend line as false. The line now runs through the high of 1.1724.<\/p>\n<p>Today\u2019s key developments will be the Spanish parliament\u2019s vote of confidence in the government as well as the nonfarm payrolls report from the US. These are what traders and investors will be looking at today.<\/p>\n<p>Considering that the US dollar is on the rise against all the majors in today\u2019s Asian session, I\u2019m expecting the euro to decline today. The rise of the EURGBP cross has been providing support to the euro for 14 hours and only started declining in the Asian session, now providing support to sellers.<\/p>\n<p>I don\u2019t make predictions on payrolls day. The only thing I can do is to set a target level for sellers; 1.1620. As the crosses are reluctant to decline, downwards movement should prove difficult today. Also, on the way down, sellers will be met with resistance at the 45<sup>th<\/sup>\u00a0degree and the LB line at 1.1653.<\/p>\n<p>If the NFP report is weak, and the vote of confidence in Spain goes in the government\u2019s favour, the euro should surge to around 1.1840. Of course, if you have a profitable open position, I think it best to get out of the market ahead of the payrolls report. It\u2019s not a nice feeling when you have a profitable position ahead of some event, only to lose it once the news has come out. There are too many factors adding to the uncertainty of the situation.<\/p>\n<div class=\"s_invisible_yes\">Source: &#8220;<a href=\"https:\/\/alpari.com\/en\/hidden_copyright\/\" rel=\"nofollow\">EURUSD: euro consolidating ahead of the NPF report and Spanish parliament vote<\/a>&#8220;<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>By Gabriel Ojimadu, Alpari Previous: On Thursday the 31st\u00a0of May, trading on the EURUSD pair closed slightly up. Despite the fact that the euro dropped to 1.1641, it managed to recover to 1.1700 by the end of the session. This recovery was the result of reduced pressure on the single currency. Giuseppe Conte is set [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-127806","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/127806","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=127806"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/127806\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=127806"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=127806"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=127806"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}