The zigzag movement is on the go for the major currency pairs where they gained, lost, and then gained once again during this trading week, followed by the mixed outcomes of the economic indicators both by the Eurozone and the United States.
The pair was trading at 1.3670 support level on Thursday morning, after which it remained in a short range until the start of the US session. The unemployment claims for the US economy increased to 348,000 in the past week that shows that the number of layoffs increased in the economy; moreover, the durable goods orders shrank by 1% that is greater than the expected shrinking rate of 0.7%.
The Euro is currently trading at 1.3697 that is just above its today’s pivot point level of 1.3689 and would be good to buy if the pair breaches its resistance level of 1.3720 whereas the outlook for the pair would remain bullish if it stays above the 1.3670 support area.
The British Pound witnessed the bulls beating the bears yesterday where those having opened their short positions had to face losses as the US data lifted the pair up as it is back in the short term bullish channel. The pair would remain safe to buy if it keeps hovering above the major support level of 1.6650, where if it moves above its mild resistance of 1.6690 then its next target would be 1.6713 and after that it could test 1.6730.
The sellers made the most of the opportunity given by the bulls last night as the pair came back up in the US session. The Euro remained highly volatile against the Japanese yen where it lost nearly 110 points earlier on Thursday after which it regained those 110 points after the release of poor economic data outcome of US, but the bulls only managed to take the pair just to the edge of the major resistance level. The pending sell orders were placed at that very level and hence the pair started falling yet again today in the Asian session and is trading at 139.17 and would be a bounty for sellers if it remains below 140.01.
To contact the reporter of this story: Jonathan Millet at email@example.com