Confidence figures boosts EURO


Eurozone ESI economic confidence came in higher than expected (6-years high), at 108.2 up from 107.8 in December. After the mixed German numbers forecasts for the ESI had been cautious, but in the event the numbers were solid, with consumer confidence being revised up from an already good preliminary reading. Together with the expected uptick in German headline HICP to around 2%, the data will add to tapering concerns, especially after ECB’s Knot suggested that data doesn’t justify ongoing quantitative easing.

EURUSD has settled just under 1.0700, earlier logging an intraday low at 1.0687, which put in a bit more distance from Friday’s high at 1.0740. The euro managed little more than a 10 pip rise following the perky showing in German state inflation data. EUR-USD on Friday failed to sustain a break above pivot zone around 1.0706-11, which is tentatively a sign of growing downside momentum. Much will depend on dollar, with markets still trying to assess the net impact Trump’s protectionist and immigration curtailments versus his bold plans to revive the economy. The 30- and 50-day moving averages on a sixty-minute timeframe are at 1.0701 and 1.0695 now mark key supports.

Click here to access the HotForex Economic calendar.

Want to learn to trade and analyse the markets? Join our latest webinar and get analysis and trading ideas combined with better understanding on how markets work.

Click HERE to register the next webinar will start in:

Andria Pichidi

Market Analyst


Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.