Over the last week, the main currency pair moved to 1.13; weak statistics was in favor of sellers.
The EUR/USD pair finished the second week of May with a decline near 1.1305. So, if in the first half of the week investors were quite inactive, then in the second half “bears” dominated.
The statistics published on Friday indicated that retails sales in the USA in April increased by 1.3% m/m despite the predicted number, which was much less. The March data was revised in favor of increase, from -0.4% to -0.3% m/m. the April report is the strongest over the last year in retail sales. After the weak statistics on the Eurozone GDP, this report clearly defined the market trend.
The report components show that there was quite a good growth in online sales (+2.1%), cars sales (+3.2%), clothing and footwear sales (+1%). It might be both a seasonal spike and a start of a new positive tendency.
Other report published last Friday evening is Michigan consumer sentiment index, which increased in May up to 95.8 points against the final April number of 89 points and the expected number of 91 points. This is also very positive for the American currency.
This week is going to be interesting as far as statistics is concerned. The USA will release reports of the industrial production in April; the FRS will publish “minutes” of its latest meeting. The Eurozone will provide the inflation statistics over the last month and the construction sector as well.
On Monday, the Eurodollar is expected to trade in the range between 1.1275 – 1.1350. In case of negative market sentiments, the main currency pair may easily update the minimum it reached last Friday.
RoboForex Analytical Department
Without authorization, you can view no more than two reviews per day and no more than 10 per month. To continue reading analytical reviews, register or login to your Members Area.