{"id":3044,"date":"2009-07-22T12:19:35","date_gmt":"2009-07-22T17:19:35","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=3044"},"modified":"2009-07-22T12:19:35","modified_gmt":"2009-07-22T17:19:35","slug":"eurusd-hits-a-wall-after-disappointing-ez-ino-data","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/07\/22\/eurusd-hits-a-wall-after-disappointing-ez-ino-data\/","title":{"rendered":"EUR\/USD Hits a Wall after Disappointing EZ INO Data"},"content":{"rendered":"

By Fast Brokers<\/strong> – The EUR\/USD has hit a wall and is consolidating with a downward slope after the Euro Zone\u2019s industrial new orders data showed slight contraction while analysts were expecting a swing to growth (-0.2% vs. 1.9%).\u00a0 The Euro is also digesting the fact that French consumer spending came in higher than expected.\u00a0 However, we believe the EZ INO number is more prevalent since we\u2019ve seen French CS flutter between growth and contraction.\u00a0 Hence, the EU continues to display a theme of disappointing data.\u00a0 Over the past week and a half investors have received discouraging data concerning EU economic sentiment, pricing, and now manufacturing.\u00a0 The economic data shows that although the peak of the crisis may be behind us, the economic return to growth could be a long, steep road.<\/p>\n

Despite the recent negative data points the bulls continue to hold the line, preventing a protracted pullback.\u00a0 Near-term investor sentiment is still on the upswing with the confidence that the economic recovery will keep on trucking.\u00a0 The EUR\/USD confirms investor confidence by trading comfortably above weighted medium-term downtrend lines and the psychological 1.40 level.\u00a0 Furthermore, there\u2019s a dense trading range wielding an upward slope between June lows and highs.\u00a0 However, the immediate-term tells a different story.\u00a0 Investors are exercising caution after today\u2019s disappointing data coupled with mixed earnings from the U.S.\u00a0 Though the majority of U.S. 2nd quarter earnings have been positive thus far, investors are digesting some questionable results from Morgan Stanley and Wells Fargo.\u00a0 Additionally, corporations beating analyst bottom-line estimates come on declining revenue and strategic cost-cutting.\u00a0 As a result, there remains an uncertainty concerning the prospect of future growth.<\/p>\n

We\u2019ve tweaked our trend lines, and see a new immediate-term wedge between our 3rd tier uptrend and downtrend lines.\u00a0 If the EUR\/USD should break below our 3rd tier uptrend line we could witness a pullback towards our 2nd tier uptrend and the 1.41 area.\u00a0 Meanwhile, the EUR\/USD is trading well above the psychological 1.40 level, and has quite a few cushions between 1.40 and present price.\u00a0 As for the upside, the EUR\/USD now has to deal with fresh July highs and then June highs.\u00a0 Therefore, there are a few speed bumps on the road ahead.\u00a0 An immediate-term fluctuation between our 3rd tier trend lines would not be surprising.\u00a0 As usual, the EUR\/USD\u2019s path is highly reliant on the S&P futures.\u00a0 Should the S&P break out of its own obstacles the EUR\/USD would likely follow suit due to their positive correlation.
\nPresent Price: 1.4190<\/p>\n

Resistances: 1.4197, 1.4214, 1.4230, 1.4247, 1.4269<\/p>\n

Supports: 1.4138, 1.4157, 1.4142, 1.4124, 1.4101<\/p>\n

Psychological: 1.40, 1.45<\/p>\n

\"\"<\/a><\/p>\n

Market Commentary<\/strong><\/em> provided by Fast Brokers<\/strong><\/span><\/a>.<\/p>\n

Disclaimer:<\/strong> FastBrokers\u2019 market commentary is provided for information purposes only and under no circumstances should be regardedneither as an investment advice nor as a solicitation or an offer to sell\/buy any financial product. FastBrokers assumes no responsibility or liability from gains or losses incurred by the information herein contained.<\/p>\n

Risk Disclosure:<\/strong> There is a substantial risk of loss in trading futures and foreign exchange. Please carefully review all risk disclosure documents before opening an account as these financial instruments are not appropriate for all investors.<\/p>\n","protected":false},"excerpt":{"rendered":"

By Fast Brokers – The EUR\/USD has hit a wall and is consolidating with a downward slope after the Euro Zone\u2019s industrial new orders data showed slight contraction while analysts were expecting a swing to growth (-0.2% vs. 1.9%).\u00a0 The Euro is also digesting the fact that French consumer spending came in higher than expected.\u00a0 … <\/p>\n

Continue reading “EUR\/USD Hits a Wall after Disappointing EZ INO Data”<\/span><\/a><\/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-3044","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3044","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=3044"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3044\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=3044"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=3044"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=3044"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}