We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Mixed
USD/JPY
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Bitcoin
Mixed
More View more
Real Time News
  • Forex Update: As of 08:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.08% 🇨🇭CHF: -0.19% 🇬🇧GBP: -0.23% 🇨🇦CAD: -0.44% 🇦🇺AUD: -0.52% 🇳🇿NZD: -0.66% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/UZkhKdEaS4
  • RT @TimBukOne: @ShaunMurison_IG Update: Now with latest real-time price added - lowest levels since 2003 using inflation adjusted, constant…
  • LIVE NOW: Join DailyFX Market Analyst @DavidCottleFX for a look ahead at the major economic data which will drive Asia Pacific markets in the coming seven days. https://www.dailyfx.com/webinars/985612483
  • Have you joined @DailyFX @facebook group yet? Discuss your #forex strategies and brush up on your skills with us here: https://t.co/jtY1G7g8yx https://t.co/h72ZbD8gUS
  • Indices Update: As of 08:00, these are your best and worst performers based on the London trading schedule: US 500: -1.63% Wall Street: -1.63% Germany 30: -2.26% France 40: -2.36% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/APzhDnjKfP
  • European Opening Calls From IG: #FTSE 7304 -1.35% #DAX 13316 -1.94% #CAC 5918 -1.85% #AEX 604 -2.09% #MIB 23913 -3.47% #IBEX 9711 -1.77% #STOXX 3722 -2.06%
  • LIVE IN 30 MIN: Join DailyFX Market Analyst @DavidCottleFX for a look ahead at the major economic data which will drive Asia Pacific markets in the coming seven days. https://www.dailyfx.com/webinars/985612483
  • #Sasol now trading at its worst levels since March 2006, currently sub R200, sinking sub now, remember #Amagluglug $JSESOL #JSE https://t.co/MxWzMTouDa
  • Join @DavidCottleFX 's #webinar at 3:00 AM ET/8:00 AM GMT for your weekly update on the top Asia Pacific market drivers that traders should watch this week. Register here: https://t.co/HNf3Axw8s5 https://t.co/Jo2jnRw0BB
  • Hey, traders 👋 do you want live AMAS with our analysts, market updates and tools to improve your trading strategy? Join us now on Instagram! 👉 https://t.co/pHGzVMqsC4 https://t.co/3winKcMWuw
Euro Slide vs USD May Continue Ahead of German Factory Orders

Euro Slide vs USD May Continue Ahead of German Factory Orders

2020-02-06 08:00:00
Dimitri Zabelin, Junior Currency Analyst
Share:

Euro Outlook, EUR/USD Technical Analysis, German Factory Orders – Talking Points

  • Euro may fall on German factory orders, echoing soft retail sales data
  • Fading coronavirus concerns gave way to more buoyant risk appetite
  • EUR/USD flirting with November-lows as pair slides under resistance

ASIA-PACIFIC RECAP

Asia-Pacific equities were broadly in green pasture as fear about the coronavirus and its impact on growth was showing signs that its potency to induce market-wide volatility was fading; at least for now. The total count for those infected currently stands at 28,273 with most of the cases in mainland China. However, the global economic consequences of the coronavirus has still yet to be revealed.

GERMAN FACTORY ORDERS DATA: WHY EURO TRADERS CARE

The Euro may face additional selling pressure if factory orders data out of Germany – the largest Eurozone economy – echoes a similar statistical weakness seen in Tuesday’s retail sales report. Analysts are anticipating a 6.6 percent contraction, a slightly weaker reading than the prior -6.5 figure. Given the size and scope of the German economy, this particular data release has recently shown to rattle the Euro.

Euro Slide vs USD May Continue Ahead of German Factory Orders

While economic data has been tending to outperform economists’ expectations since early-December, this trend has recently shown some weakness, possibly reflecting analysts overestimating Eurozone strength. The outbreak of the coronavirus may contribute to worse-performing data down the line. While few cases were reported in Europe, the disruption of supply chains in Asia may lead to softer growth figures for February.

Starts in:
Live now:
Mar 02
( 04:03 GMT )
Recommended by Dimitri Zabelin
Geopolitical Risks Affecting Markets in the Week Ahead
Register for webinar
Join now
Webinar has ended
Euro Slide vs USD May Continue Ahead of German Factory Orders

EUR/USD TECHNICAL OUTLOOK GLOOMY

As outlined in my prior EUR/USD forecast, the pair has once again sunk below the December 31 descending resistance channel (labelled as “Beta”) and is now flirting with November-lows at 1.0989. Looking ahead, traders will be closely watching the intersection between support and resistance, since a break in either direction could catalyze a selloff or upside boost.

EUR/USD – Daily Chart

Euro Slide vs USD May Continue Ahead of German Factory Orders

EUR/USD chart created using TradingView

EURO TRADING RESOURCES

--- Written by Dimitri Zabelin, Jr Currency Analyst for DailyFX.com

To contact Dimitri, use the comments section below or @ZabelinDimitrion Twitter

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.