EURUSD on Friday rose 0.19% to 1.08970. Week ending 2024-01-19 moved lower by -0.47%. What you need to know.

Dear ,

As requested, let’s look at EURUSD and the recent events that happened in the previous trading session.

EURUSD Analysis

Performance
Period	Pct	Chg	Momentum
Friday	0.19%	20.8 Pips
Week 2024-01-19	-0.47%	-51.3 Pips
January	-1.27%	-140.4 Pips

Upcoming key events for the new week (London Time)

  Tue 09:00 AM Euro area Bank Lending Survey
  Thu 01:15 PM ECB Interest Rate on main refinancing operations (MRO)
  Thu 01:30 PM Initial Unemployment Insurance Claims
  Thu 01:30 PM GDP Annualized
  Fri 01:30 PM Personal Consumption Expenditures Price Index (12-mth)

What happened over the week

 U.S. Michigan Index of Consumer Sentiment in January preliminary estimate exceed forecast and rose to 78.8 points compared to previous figure 69.7 points in December Source: University of Michigan
 Germany Producer Price Index (12-mth) in December exceed forecast and dropped to -8.6% compared to previous figure -7.9% in November
 In the week ending 13 January, U.S. Initial Unemployment Insurance Claims dropped to 187K compared to previous figure 202K Source: Department of Labor
 U.S. Philadelphia Fed Manufacturing Survey in January below forecast and improved to -10.6 points compared to previous figure -12.8, revised from -10.5 points in December
 U.S. Industrial Production (1-mth) in December rose to 0.1% compared to previous figure 0.2%
 U.S. Monthly Retail Trade excluding Automobile (1-mth) in December exceed forecast and rose to 0.4% compared to previous figure 0.2% in November
 Euro Area Harmonized Index of Consumer Prices (HICP) (1-mth) in December unchanged at 0.2% compared to previous report in November. The actual figure is also in line with the forecast Source: Eurostat
 Euro Area ZEW Survey – Economic Sentiment in January exceed forecast and dropped to 22.7 points compared to previous figure 23 points in December Source: ZEW
 Germany Harmonised Index of Consumer Prices (HICP) (12-mth) in December unchanged at 3.8% compared to previous report in November. The actual figure is also in line with the forecast Source: Destatis
 Euro Area Industrial Production seasonal adjustment. (1-mth) in November improved to -0.3% compared to previous figure -0.7% in October

What can we expect from EURUSD for the new week and what happened on Friday?

EURUSD on Friday rose 0.19% to 1.08970. Price is below 9-Day EMA while Stochastic is rising. For the week ending 2024-01-19, the pair dropped -0.47% or -51.3 pips lower.

Looking ahead on Monday, EURUSD looks mixed as the pair is likely to consolidate above week low of 1.08443.

For the new week, our technical outlook looks bearish, immediate support level is at 1.08383 (WS1) with break below could see further selling pressure towards 1.07797 (WS2). For potential buyers, as the current momentum is bearish, we prefer to look at firm break of the week high of 1.09676 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 1.08443 would indicate selling pressure.

For the month of January, EURUSD is down by -1.27% or -140.4 pips lower.

Weekly key levels to watch out: