EURUSD on Monday rose 0.28% to 1.11245. Why it matters.

Dear ,

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

EURUSD Analysis

Performance after Monday
Period	Pct	Chg	Momentum
Monday	0.28%	30.6 Pips
Week to-date	0.28%	30.6 Pips
September	0.4%	44.1 Pips

Upcoming key events (London Time)

  Tue 01:30 PM USD Monthly Retail Trade (1-mth)
  Wed 07:00 PM USD Fed Interest Rate Decision (Federal Funds Rate)
  Wed 07:00 PM USD Interest Rate Projections

What happened lately

The United States reported a significant improvement in the New York Empire State Manufacturing Index for September, with the index rising to 11.5 points from -4.7 points in August. This positive shift indicates a substantial rebound in manufacturing activity within the state, suggesting that business conditions have improved considerably over the past month. The source of this data is the New York Fed, which highlights that manufacturing sentiment turned positive, potentially reflecting increased demand and economic recovery efforts.

The pronounced improvement in the U.S. manufacturing index may affect the EUR/USD currency pair. On Monday, the EUR/USD exchange rate rose by 0.28% to 1.11245. This positive movement in the euro against the dollar could be influenced by European economic data, market sentiment, and anticipations surrounding upcoming U.S. economic events. The market is also closely watching events like the Monthly Retail Trade report, the Federal Funds Rate decision, and the Interest Rate Projections, which are scheduled to be released this week. These high-impact events are likely to introduce further volatility into the EUR/USD trading as investors adjust their positions based on the forthcoming economic data and policy decisions.

What can we expect from EURUSD today?

EURUSD on Monday rose 0.28% to 1.11245. Price is above 9-Day EMA while Stochastic is rising.

Updated daily direction for EURUSD looks bullish as the pair ended higher after Monday trading session.

Looking ahead for the day, immediate upside resistance level is R1 at 1.1146 with break above could target R2 at 1.11674 or figure level area. While towards the downside, we are looking at daily low of 1.10863 as an important support. Break below this level could weaken the current bullish momentum. A break above 1.11376 may suggest continuation after recent positive movement.

For the week to-date, take note that EURUSD is bullish as the pair continued to trade higher and is up by 0.28% over the past few days.

Key levels to watch out: