The story remains the same for the EURUSD (see prior post: “Forex Technical Analysis: I get the “technical” picture in the EURUSD” ) with the price rotating from near the support at the 1.2499-1.2508 to the price moving toward the high at the 1.2577 level (the last move stalled at 1.25677). The Markit PMI data was weaker than expected at the 54.7. vs 56.3 estimate and 55.9 last. The Philly Fed Index, and Existing Home Sales are up next with the Philly Fed expected at 18.5 vs 20.7. Existing Home sales are expected to come in at 5.15M vs 5.17M last month.
The EURUSD has done another lap lower and back up in the NY session so far.
The price remains below the top ceiling at the 1.2577 level and the PMI did not push it much higher (so far). The push off the support area (against the 1.2499-08 area) was impressive especially given the worries of a lower inflation number which did no materialize. You can see the nervousness in the market as the price goes up and down in trading today – swapping selling and buying at the extremes. The expectation still remains for a break. The sellers had their chance and blew it. Can the buyers follow through now?
It is getting to be like too old boxers in the 10th round of a 12 round fight with no energy left. Can one land the punch to knock the other out?
