WorldWideMarkets Community

Forex Trading, Market News & Technical Analysis

Forex: U.S. Euro Summary

Posted by Joseph Trevisani on Sep 5, 2013 4:53:00 PM


The euro started the New York session at 1.3205 after moving in a 1.3163-1.3218 range during Asia and Europe hours with the price crossing and staying above 1.3200 in the lead up to U.S. statistics at 8:15 and 8:30 am.

At 7:45 am the ECB rate announcement was unremarked. ADP private payrolls at 8:15 am, 176,000 on a forecast of 184,000 caused a very brief two minute spike in the euro to 1.3223 from 1.3200 likely fostered by the slight miss but capped by sell orders at 1.3225.

ECB President Draghi was expected to emphasize the fragility of the EMU economy in his press conference and he did not disappoint. He repeated previous comments that rates will be at current levels or lower for an extended time, that the recovery, such as it is, had barely begun and that growth predictions for next year have been slightly lowered. Though expected the euro dropped in response from 1.3214 to 1.3130 over the next thirty minutes. The 100 day moving average at 1.3138 may have helped deter the fall. Strong buying interest at 1.3130 snapped the euro back to 1.3173 in twenty minutes.

Better than expected services ISM data at 10:00 am helped press the euro to its low of 1.3111 but the currency had already turned lower before the release. The balance of the session was an afterthought as the currency consolidated between 1.3113-27.



Charts: Bloomberg

ScreenHunter 1752 Sep. 05 18.57

ScreenHunter 1753 Sep. 05 18.58


Tools & Educational Resources

Forex 101LEARN MORE >>
Learn the basics of Forex and how to practice trading the markets.

GlossaryLEARN MORE >>
Confused by the language? Click here and search for key trading terms.

Browse our frequently asked questions and find your answers right away.

Access to the educational lessons, webinars and platform walkthroughs.


Get started with a FREE $10,000 Demo Account and experience the Forex Market RISK FREE!