The single currency of the European Union has fluctuated in a narrow range, tilted lower during the Asian session to witness the rebound for the second consecutive session since August 14 against the US dollar on the eve of developments and economic data expected on Tuesday by the largest economies of the euro zone Germany and the economy American largest economy in the world.
At 04:51 AM GMT, EUR / USD fell 0.03% to 1.1099 levels compared to the opening at 1.1102, after the pair reached its lowest level during the session at 1.1098, while the highest level at 1.1107.
The German economy is currently looking to reveal the final Q2 GDP reading, which could reflect the stability of the largest contraction of the euro zone's economy at 0.1%, unchanged from the previous initial reading and against 0.4% growth in the first quarter, as the annualized reading of the index shows. Growth is stable at 0.4%, and the seasonally adjusted annual reading of the index may show stability at zero levels.
On the other hand, investors are currently awaiting the US economy to release housing market data with the release of the house price index, which may reflect the acceleration of the pace of growth in June to 0.2% compared to 0.1% in May, while the reading of the same indicator may show For the second quarter, the pace of growth slowed to 0.2% from 0.1% in the first fourth.
This comes in conjunction with the release of the S&P House Price Index, which may show the pace of growth accelerated to 2.5% vs. 2.4% last May, and before we see the release of the Consumer Confidence reading which may show a widening of the expansion to 129.3 vs. 135.7 Last July, coinciding with the release of the Richmond Manufacturing Index, which may show contraction shrank to 2 vs. 12 in July.
Technical Analysis
EUR / USD has provided negative trading to settle at 1.1100 once again, reinforcing expectations for the continuation of the bearish trend over the coming period, supported by negative pressure formed by SMA 50, and Stochastic is gradually losing its positive momentum, waiting for further decline today.
Our next target is at 1.1000, noting that the continuation of the suggested bearish wave requires stability below 1.1180.
Expected trading range for today is between 1.1000 support and 1.1180 resistance.
Expected trend for today: Bearish.