EUR/USD Surges as US Retail Sales Exceed Expectations...
EUR/USD Surges as US Retail Sales Exceed Expectations
The EUR/USD currency pair had a remarkable day on Tuesday, making substantial gains after a surprising beat in US Retail Sales figures, causing a surge in investor risk appetite and weakening the US Dollar (USD). This development bolstered the Euro (EUR), pushing the EUR/USD pair from its early day low of 1.0530 to approach the key 1.0600 level.
US Retail Sales for September exceeded market expectations, showing a significant increase of 0.7%, outperforming the median forecast of 0.3%. Additionally, the previous month's reading received an upward revision, moving from 0.6% to a stronger 0.8%.
US Retail Sales Highlights:
September Retail Sales: +0.7% (Expectation: +0.3%)
Upward revision of previous month's Retail Sales: 0.8%
Earlier on Tuesday, the EU's ZEW Economic Sentiment Survey also delivered a pleasant surprise, reporting a score of 2.3, surpassing the forecasted -8. This marked a significant rebound from the previous reading of -8.9, indicating a noteworthy improvement in economic sentiment within the European Union.
This positive news had a domino effect on market sentiment, causing a risk-on sentiment. As a result, the US Dollar weakened across the board, and the EUR/USD pair made gains, reclaiming levels it had previously lost following last week's risk-off sentiment.
Looking ahead, Wednesday will bring the European Harmonized Index of Consumer Prices for September. Forecasts suggest that the headline monthly figure will remain steady at 0.3%.
The European session on Wednesday opened with a double top pattern in the H1 timeframe, just before the price reached the 1.06000 level. Given our earlier analysis of the Euro, this may mark the beginning of a bearish impulse, with our initial target at 1.05000. Traders will be closely monitoring price movements and economic data to gain insights into the future direction of the EUR/USD currency pair.
Short-Term | Our preference
Short positions below 1.0640 with targets at 1.0500 & 1.0450 in extension.
The EUR/USD currency pair had a remarkable day on Tuesday, making substantial gains after a surprising beat in US Retail Sales figures, causing a surge in investor risk appetite and weakening the US Dollar (USD). This development bolstered the Euro (EUR), pushing the EUR/USD pair from its early day low of 1.0530 to approach the key 1.0600 level.
US Retail Sales for September exceeded market expectations, showing a significant increase of 0.7%, outperforming the median forecast of 0.3%. Additionally, the previous month's reading received an upward revision, moving from 0.6% to a stronger 0.8%.
US Retail Sales Highlights:
September Retail Sales: +0.7% (Expectation: +0.3%)
Upward revision of previous month's Retail Sales: 0.8%
Earlier on Tuesday, the EU's ZEW Economic Sentiment Survey also delivered a pleasant surprise, reporting a score of 2.3, surpassing the forecasted -8. This marked a significant rebound from the previous reading of -8.9, indicating a noteworthy improvement in economic sentiment within the European Union.
This positive news had a domino effect on market sentiment, causing a risk-on sentiment. As a result, the US Dollar weakened across the board, and the EUR/USD pair made gains, reclaiming levels it had previously lost following last week's risk-off sentiment.
Looking ahead, Wednesday will bring the European Harmonized Index of Consumer Prices for September. Forecasts suggest that the headline monthly figure will remain steady at 0.3%.
The European session on Wednesday opened with a double top pattern in the H1 timeframe, just before the price reached the 1.06000 level. Given our earlier analysis of the Euro, this may mark the beginning of a bearish impulse, with our initial target at 1.05000. Traders will be closely monitoring price movements and economic data to gain insights into the future direction of the EUR/USD currency pair.
Short-Term | Our preference
Short positions below 1.0640 with targets at 1.0500 & 1.0450 in extension.
✅ TELEGRAM CHANNEL: t.me/+VECQWxY0YXKRXLod
🔥 UP to 4000$ BONUS: forexn1.com/broker/
🔥 USA ZERO SPREAD BROKER: forexn1.com/usa/
🟪 Instagram: instagram.com/forexn1_com/
🔥 UP to 4000$ BONUS: forexn1.com/broker/
🔥 USA ZERO SPREAD BROKER: forexn1.com/usa/
🟪 Instagram: instagram.com/forexn1_com/
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.