• Sign in
  • Open an account
oanda_logo
  • Sign in
  • Open an account

Sign in

  • FXTRADE
  • FXTRADE PRACTICE
  • Solutions for business

Select account:

  • FXTRADE
    Open an account
    Leveraged trading is high risk. Losses can exceed investment.
  • FXTRADE practice
    Free demo
  • Solutions for business
    Pricing plans
  • Trading
    • Trading Overview
    • Why OANDA
    • Markets
    • Platforms
    • Tools
    • Analysis
    • Learn
  • Currency converter
    • Converter
    • Tools
    • Mobile
    • Live Rates
    • Historical Rates
    • Embed Converter
    • Help
  • Solutions for business
    • FX for Business Overview
    • Exchange Rates API
    • Corporate FX Transfers
    • Historical Currency Converter
    • Contact us
    • Blog
  • Resources
    • Resources Overview
    • Legal
    • Support
    • News
    • Contact Us
Logotype
The Beat of the Global Markets
  • Home
  • Macroeconomic
    • Market Pulse
    • Economic Exposure
    • Central Bank Watch
    • OANDA Video
  • Technical analysis
    • Forex
    • Commodities
    • Indices
    • OANDA Video
  • Forex news
  • Economic calendar
  • About MarketPulse
    • Team
Home/Currency/EUR/Market Pulse/USD

EUR/USD – Euro Ticks Higher, German Inflation Disappoints

December 20, 2017 Share Print 0

The euro is showing little movement in the Wednesday session. Currently, EUR/USD is trading at 1.1857, up 0.14% on the day. On the release front, German PPI slowed to 0.1%, shy of the estimate of 0.2%. As well, the Eurozone Current Account Surplus dropped sharply to EUR 30.8 billion, well short of the estimate of EUR 33.4 billion. In the US, today’s key event is Existing Home Sales. Thursday is a busy day in the US, with the release of third quarter Final GDP. We’ll also get a look at the Philly Fed Manufacturing Index and unemployment claims.

President Trump can claim victory – almost. Trump’s tax reform bill was passed in the House of Representatives and the Senate on Tuesday, but the bill is being sent back to the House for another vote due to a procedural requirement. The bill is expected to be ratified by the House and will then be sent to Trump to be signed into law. As expected, the congressional votes went along party lines, with the Senate narrowly approving the bill by a count of 51-48. This marks the first major overhaul of the US tax code in 30 years, and reduces corporate taxes from 35% to 21%. After failing to overturn Obamacare, the Republicans can finally chalk up their first legislative victory in the Trump administration, ahead of Congressional elections in 2018.

The US economy continues to fire on all cylinders, and should do well on Thursday’s report card, with the release of Final GDP for Q3. Preliminary GDP posted an impressive 3.3% gain, and the markets expect Final GDP to post an identical reading for Final GDP. The Federal Reserve wrapped up 2017 with a quarter-point hike, and another increase is widely expected at the January meeting. Strong economic numbers and this accelerated pace of rate increases bodes well for the US dollar against the euro and other major rivals.

In Germany, coalition talks continue to grind slowly, as President Angela Merkel tries to form a new government. Merkel’s conservative bloc suffered losses in the September election, and talks with smaller parties failed to break the political deadlock. Merkel has now shifted her efforts towards her previous junior coalition party, the Social Democrats (SDP). On Friday, the SDP voted to begin exploratory talks with Merkel, with a view to discussing substantive issues in January. Many SDP lawmakers want a more senior role for the SDP in any coalition, and the SDP will likely demand key portfolios in a new government. Despite the political uncertainty, the German economy continues to look very strong.

EUR/USD Fundamentals

Wednesday (December 20)

  • 2:00 German PPI. Estimate 0.2%. Actual 0.1%
  • 4:00 Eurozone Current Account. Estimate 33.4B. Actual 30.8B
  • 8:00 German Buba President Jens Weidmann Speaks
  • 9:00 Belgian NBB Business Climate. Estimate 2.0
  • 10:00 US Existing Home Sales. Estimate 5.53M
  • 10:30 US Crude Oil Inventories. Estimate -3.6M

Thursday (December 21)

  • 8:30 US Final GDP. Estimate 3.3%
  • 8:30 US Philly Fed Manufacturing Index. Estimate 21.5
  • 8:30 US Unemployment Claims. Estimate 232K

*All release times are GMT

*Key events are in bold

EUR/USD for Wednesday, December 20, 2017

EUR/USD for December 20 at 5:35 EDT

Open: 1.1841 High: 1.1854 Low: 1.1829 Close: 1.1857

EUR/USD Technical

S1 S2 S1 R1 R2 R3
1.1574 1.1657 1.1777 1.1876 1.1961 1.2092

EUR/USD was flat in the Asian session and is showing limited movement in the European session

  • 1.1777 is providing support
  • 1.1876 is a weak resistance line

Further levels in both directions:

  • Below: 1.1777, 1.1657, 1.1574 and 1.1434
  • Above: 1.1876, 1.1961 and 1.2092
  • Current range: 1.1777 to 1.1876

OANDA’s Open Positions Ratio

EUR/USD remains unchanged this week. Currently, short positions have a majority (55%), indicative of EUR/USD breaking out and moving downwards.

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

  • Bio
  • Google+
  • Latest Posts
Kenny Fisher

Kenny Fisher

Currency Analyst at Market Pulse
Kenny Fisher joined OANDA in 2012 as a Currency Analyst. Kenny writes a daily column about current economic and political developments affecting the major currency pairs, with a focus on fundamental analysis. Kenny began his career in forex at Bendix Foreign Exchange in Toronto, where he worked as a Corporate Account Manager for over seven years.
Kenny Fisher

+Kenny Fisher

Kenny Fisher

Latest posts by Kenny Fisher (see all)

  • NZD/USD – NZ dollar slides on soft Chinese data - 06/14/2019
  • AUD/USD – Aussie losses continue as Chinese industrial output slides - 06/14/2019
  • FTSE loses traction as Broadcom sends equities lower - 06/14/2019
Belgian NBB Business Climate, EUR/USD, Eurozone Current Account, German Buba President Jens Weidmann, German PPI, US Crude Oil Inventories, US Existing Home Sales, US Final GDP, US Philly Fed Manufacturing Index, US Unemployment Claims
Back to Top
Subscribe
Subscribe form
Latest posts
OANDA Market Insights – Episode 94 (Video)
Posted by Craig Erlam Dec 6, 2019
OANDA Market Insights – Episode 94 (Podcast)
Posted by Craig Erlam Dec 6, 2019
Week Ahead – The UK election is upon us
Posted by Craig Erlam Dec 6, 2019
Commodities
OANDA Market Insights – Episode 94 (Video)
Posted by Craig Erlam Dec 6, 2019
OANDA Market Insights – Episode 94 (Podcast)
Posted by Craig Erlam Dec 6, 2019
Week Ahead – The UK election is upon us
Posted by Craig Erlam Dec 6, 2019
Macro economics Analysis
OANDA Market Insights – Episode 94 (Video)
Posted by Craig Erlam Dec 6, 2019
OANDA Market Insights – Episode 94 (Podcast)
Posted by Craig Erlam Dec 6, 2019
Week Ahead – The UK election is upon us
Posted by Craig Erlam Dec 6, 2019
US Close – Stocks eye fresh record highs after Killer jobs report, Oil soars on Saudi ...
Posted by Ed Moya Dec 6, 2019
China plans to lift tariffs on some US soybeans and pork products
Posted by Ed Moya Dec 6, 2019
Forex News
Dollar firmer on solid US data
Posted by Andrew Robinson Nov 27, 2019
Alibaba to Close Order Book Ahead of Huge IPO
Posted by Alfonso Esparza Nov 18, 2019
Trump and Powell Met Monday to Discuss US Economy
Posted by Alfonso Esparza Nov 18, 2019
US Stocks Lower on Trade Jitters
Posted by Alfonso Esparza Nov 18, 2019
Goldman Sachs is Optimistic About the US Economy Rebounding in 2020
Posted by Alfonso Esparza Nov 18, 2019
Follow us
  • RSS
  • Facebook
  • Twitter
  • Google

Logotype
MarketPulse is a forex, commodilies, and global indices analysis.
  • About Us
  • FOREX TRADING
  • Solutions for business
  • Currency conversion
  • Macroeconomic analysis
  • Technical Analysis
  • Forex News
  • Economic calendar
  • About MarketPulse
  • Terms of use
  • Site map

MarketPulse is a forex, commodities, and global indices analysis news site providing timely and accurate information on major economic trends, technical analysis, and worldwide events that impact different asset classes and investors.

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities.

Opinions are the authors — not necessarily OANDA’s, its officers or directors. OANDA’s Terms of Use and Privacy Policy apply. Leveraged trading is high risk and not suitable for all. Losses can exceed investments.

© 1996 - 2016 OANDA Corporation. All rights reserved. All Registered Trade Marks used on this Website, whether marked as Trade Marks or not marked, are declared to belong to their respective owner(s). OANDA Corporation owns Trade Marks of all its "FX" products.

370 King Street West 2nd Floor, Box 60 Toronto, ON M5V 1J9 Canada | 1-877-626-3239 | info@marketpulse.com

OANDA Corporation is a registered Futures Commission Merchant and Retail Foreign Exchange Dealer with the Commodity Futures Trading Commission and is a member of the National Futures Association. No: 0325821. Please refer to the NFA's FOREX INVESTOR ALERT where appropriate.

OANDA (Canada) Corporation ULC accounts are available to anyone with a Canadian bank account. OANDA (Canada) Corporation ULC is regulated by the Investment Industry Regulatory Organization of Canada (IIROC), which includes IIROC's online advisor check database (IIROC AdvisorReport), and customer accounts are protected by the Canadian Investor Protection Fund within specified limits. A brochure describing the nature and limits of coverage is available upon request or at www.cipf.ca.

OANDA Europe Limited is a company registered in England number 7110087 limited by shares with its registered office at Tower 42, Floor 9a, 25 Old Broad St, London EC2N 1HQ and is authorised and regulated by the Financial Conduct Authority, No: 542574.

OANDA Asia Pacific Pte Ltd (Co. Reg. No 200704926K) holds a Capital Markets Services Licence issued by the Monetary Authority of Singapore and is also licenced by the International Enterprise Singapore.

OANDA Australia Pty Ltd is regulated by the Australian Securities and Investments Commission ASIC (ABN 26 152 088 349, AFSL No. 412981) and provides and is the issuer of the products and/or services on this website. It's important for you to consider the current Financial Service Guide (FSG), Product Disclosure Statement ('PDS'), Account Terms and any other relevant OANDA documents before making any financial investment decisions. These documents can be found here.

OANDA Japan Co., Ltd. First Type I Financial Instruments Business Director of the Kanto Local Financial Bureau (Kin-sho) No. 2137 Institute Financial Futures Association subscriber number 1571.