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Old 28-09-2018, 10:52
ObasiFXMart ObasiFXMart is offline
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Join Date: Jul 2018
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Default Re: Daily Market Analysis by ForexMart

EUR/USD Fundamental Analysis: September 28, 2018

The euro against the US dollar resumes its bearish trend during the North American session, losing almost 100 pips as the day closed as low as 1.1633 despite minimal activity in the night of market hours. After the macroeconomic report from the US, the US demand surged, which is gaining momentum against the rival currencies since Wednesday of FOMC announcement and largely influenced USD denominated currency pairs. The real-GDP growth in the U.S. for the second quarter remains the same at 4.2% and durable goods orders rose by 4.5% in August after the decline of 1.2% in July. The price resumed going down lower than 1.165 in the first few hours of Asian trading. Which then sustain the price range-bound.

Although, the recent announcement did not do much from the recovery of losses. Consequently, this could boost the spread between the 10-year Italian government bond yield and its German equivalent, which will further strengthen the bearish trend. Moreover, if the yield spread rises as expected, the market will less likely focus on the preliminary Eurozone CPI to be published at 9.00 GMT. Another to expect, the US markets can anticipate the data on the core of PCE price index, which is the main measurement of inflation. Yet, recently, the support at 1.1640 is critically tested. A strong breakdown at the said level, the pair could extend its losses to 1.1570-1.1500 while a short-term resistance can be found at 1.1665, 1.1755 and 1.1815 price levels.
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