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EUR/USD received a boost from the better than expected German IFO Business Climate. This was enough to send the pair above a minor resistance line, but not enough to break 1.30, for the second time this week – a double top. Euro/dollar could not hold on to the gains and drifted back lower. As the US and the UK prepare for a long weekend, volume could already begin dropping. This could turn into a slow trading session to close the week, or could generate sharp moves on any surprising statement, after quite a volatile and wild week.

Here is a quick update on the technical situation, indicators, and market sentiment that moves euro/dollar.

EUR/USD Technical

  • Asian session: Euro/dollar  held on to gains above 1.29, before surging above this line on the German news. The pair peaked just above 1.2990, failing to reach 1.30.

Current range: 1.2880 – 1.2960.

Further levels in both directions:

EURUSD Technical Analysis May 24 2013 forex trading currencies fundamental outlook and sentiment

  • Below: 1.2880, 1.2840, 1.2800, 1.2750, 1.27, 1.2624 and 1.2587.
  • Above: 1.2960, 1.30, 1.3030, 1.31, 1.3160 and 1.32.
  • 1.2880  could provide support on any fall.
  • 1.30 is strengthening once again.

Euro  pushes towards 1.29 as volatility continues  – click on the graph to enlarge.

EUR/USD Fundamentals

  • 6:00 German Final GDP: exp. 0.1%, actual +0.1%.
  • 6:00 German GFK Consumer Sentiment: exp. 6.2, actual 6.5 points.
  • 8:00 German IFO Business Climate: exp. 104.6, actual 105.7.
  • 12:30 US Durable Goods Orders: exp. +1.6%, actual +3.3%. Core orders exp. +0.6%, actual +1.3%.
  • 13:00 Belgian NBB Business Climate: exp. -13.4, actual -12.4 points.

For more events and lines, see the  Euro to dollar forecast

EUR/USD Sentiment