EUR/USD: US dollar relatively outperforms on better than expected GDP data
Eurozone data up next tomorrow with preliminary CPI figures and German employment.
EUR/USD Technical analysis, overview, strategies, and levels
Yesterday's focus in terms of data was on preliminary US GDP (Gross Domestic Product) figures, which came in at a 2.1% reading following expectations for 1.9% growth. Durables was better at 0.6%, personal spending as expected as the shopping season gets underway, and Chicago's PMI (Purchasing Managers Index) showed ongoing contraction with a sub-50 reading of a worse than expected 46.3. The US dollar was the second best performer amongst the FX majors, and that meant that EUR/USD’s price was in for a slight retreat towards its short-term support level. A US bank holiday today means we should be expecting limiting movement and a lack of liquidity towards the US session, as attention within the Eurozone will be on Germany's preliminary CPI (Consumer Price Index) figures followed by tomorrow's Eurozone CPI and employment data.
IG client and CoT sentiment for EUR/USD
As for retail sentiment, the bias has risen 3% to a majority long 62% as shorts continue to get enticed into unwinding positions while range-traders get enticed into buying the short-term support level.
EUR/USD Chart with retail and institutional sentiment
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