The Euro pair fell to a fresh 2021 low of 1.1803, as demand for the US Dollar prevailed throughout the day. Positive EU data have not done much, while gloomy US data hardly affected the Dollar.
In the US, February Durable Goods Orders, which posted worse numbers than expected, falling by 1.1% against an expected 0.8% advance. The core reading resulted at -0.8% vs the 0.5% expected. In the EU, Consumer Confidence improved in March to -10.8 from -14.8.
Markit has released the preliminary estimates of its March PMIs. EU services PMI printed at 48.8, beating the 46 that were expected, while manufacturing output soared to 62.4 from 57.9 in February. In Germany, the services index recovered into expansion phase, resulting in 50.8, while the manufacturing PMI came in at 66.6. US figures have missed expectations, as manufacturing output came out at 59, while the services index came in at 60.
Today will bring low impact data from the EU and ECB’s President Christine Lagarde will present a speech. The US will announce Initial Jobless Claims for the week ended March 19 and the final reading of the Q4 Gross Domestic Product.
Technically, the pair has closed the day below its 200 DMA for the first time since May 2020, a big sign of bear supremacy. In the 4-hour chart, the risk is tilted to the downside. The 20 SMA stretches its down move, now coming together with a Fibonacci resistance at 1.1885, strengthening the intensity of the level.
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