|Week 2023-09-08||-0.69%||-74.3 Pips|
Upcoming key events for the new week (London Time)
Wed 01:30 PM CPI Inflation Rate (12-mth)
Wed 01:30 PM CPI Inflation Rate excluding Food and Energy sectors (12-mth)
Thu 01:15 PM European Central Bank Monetary Policy Decision Statement
Thu 01:15 PM ECB Interest Rate on main refinancing operations (MRO)
Thu 01:30 PM Initial Unemployment Insurance Claims
Thu 01:30 PM Producer Price Index excluding Food and Energy sectors (12-mth)
Thu 01:30 PM Monthly Retail Trade (1-mth)
Thu 01:45 PM European Central Bank Press Conference
Fri 03:00 PM Michigan Index of Consumer Sentiment
What happened over the week
🇪🇺 Euro Area Employment Change (3-mth) in Q2 unchanged at 0.2% compared to previous report in Q1. The actual figure is also in line with the forecast
🇪🇺 Euro Area GDP (seasonally adjusted) (3-mth) in Q2 below forecast and dropped to 0.1% compared to previous figure 0.3% in Q1 Source: Eurostat
🇺🇸 U.S. ISM Services PMI in August exceed forecast and rose to 54.5 points compared to previous figure 52.7 points in July
🇪🇺 Euro Area Retail Trade Turnover (1-mth) in July dropped to -0.2% compared to previous figure 0.2, revised from -0.3% in June
🇩🇪 Germany Factory Orders seasonal adjustment. (1-mth) in July dropped to -11.7% compared to previous figure 7.6% (revised from 7%)
What can we expect from EURUSD for the new week and what happened on Friday?
EURUSD on Friday rose 0.03% to 1.06990. Price is below 9-Day EMA while Stochastic is falling in oversold zone. For the week ending 2023-09-08, the pair dropped -0.69% or -74.3 pips lower.
Looking ahead on Monday, EURUSD looks mixed as the pair is likely to consolidate above week low of 1.06860.
For the new week, our technical outlook looks bearish, immediate support level is at 1.06537 (WS1) with break below could see further selling pressure towards 1.06083 (WS2). For potential buyers, as the current momentum is bearish, we prefer to look at firm break of the week high of 1.08090 as an important indicator of buying interest. Failure to break the resistance level would continue to echo bearish sentiment. A close below week low of 1.06860 would indicate selling pressure.
For the month of September, EURUSD is down by -1.31% or -142.5 pips lower.
Weekly key levels to watch out: