IFO follows ZEW with showing a bounce from the bottom in German business confidence. The headline business climate rises to 104.7 points, the current assessment stands at 110 and expectations at 99.7 points – all are better than expected.
EUR/USD is rising from the lows and getting closer to 1.24, but isn’t going too far.
The German IFO Business Climate was expected to tick down to 103 points in November, after scoring 103.2 in October. The “Current Assessment” component carried expectations for a slide from 108.4 to 108 and the “Expectations” figure to rise from 98.3 to 98.6 points.
EUR/USD traded lower in range towards the publication, at 1.2375.
The euro was hit by Draghi on Friday. The president of the ECB reaffirmed the commitment of his institution to do everything to battle deflation and to do it fast.
Support comes at 1.2360, which is the lowest level seen this year. More lines are 1.2320 and 1.2250. On the topside, we have 1.2440 and 1.25.
More: Stay Short EUR/USD & Sell Bounces – Barclays’ Trade Of The Week.
Here are the recent moves on the 30 minute chart:
