The pair EUR/USD remains heavy on the Forex but shows difficulties to continue its decline.
Indeed, the durable goods orders coming out at 1.7% vs. 1.0% expected and after -6.8% previously, were not enough to revive the declining value of the Euro Dollar.
Also note that orders excluding defence and aviation have exceeded expectations with 0.9% against 0.3% expected. The figure of the previous month was revised upward to 1.1%. The commands core are in line with expectations at 0.2% after 0.8%, a figure that was revised upwards.
Without displaying an acceleration to the downside following the release, EUR/USD remains heavy on the Forex, and after a move below 1.1750, we could now head to the next area of support at 1.1720/1.1680.
This area could, however, take until the speech of Trump tonight on tax reform. In effect, the US President said that he had important announcements to make on the subject, and if he manages to convince of a favorable outcome to his project, the Forex market could react with a further rise of the Dollar (decline of EUR/USD).
The current fall in EUR/USD is also in part fueled by the hopes renewed implementation of the reform early next year, after the markets have ruled out this possibility after the many setbacks and obstacles that faced Trump since the beginning of its mandate. A large part of the reduction is due to the political uncertainty brought by the election results in Germany and the return of the fear of eurosceptics, a subject who has been sidelined since the French election.
It will therefore be probably of strong ads to reach break below 1.1680, in which case we would have a new step cuts in the direction of 1.1650, 1.1620, 1.1600 and 1.1580.
Conversely, if the support area of the 1.1720/1.1680 support to the pair, we could find the resistance of 1.1750, 1.1775, 1.1800 and 1.1825 in the short term.
It must, however, break above 1.1825 to find upside risks to bigger and eventually come up more strongly.
Before the speech of Trump which is at 21h20, we will have the promises of housing sales US, but it’s a statistic that should not have a lot of weight on the Forex.
The pair EUR/USD is currently trading at 1.1729 on the Forex.
Chart EUR/USD H1
See also our charts EUR/USD in real time.
This chart has been realized with the trading platform TradingStation 2 provided by FXCM France.