The EUR/USD reacted to the upside following the release of mixed data from the united States. While sales of new homes grew more than expected, consumer confidence and the manufacturing index of the Richmond Fed disappointed. The crossing has advanced more than 40 pips in the last few minutes, rising to a maximum of 2 days at 1.0932.
The sales of new homes in the united States grew by 5.8% during the month of march, surpassing the fall in the 0.5% expected and the rise of 0.3% (revised) in February. According to the Census Bureau, this is the largest rise registered by the indicator in eight months, particularly from July 2016.
For its part, the manufacturing index of the Richmond Fed for April, fell to 20 points from the 22 previous. The consumer confidence also fell from 125.6 points prior to the 102.3 current.
With the crossing now operating on 1.0925/30, a 0.57% above its opening price, Pablo Piovano, analyst at FXStreet, believes that «the rise in EUR/USD would look like the fence starting in the zone of maximum annual close of 1.0940, prior to the psychological barrier at 1.1000«.
«In the opposite way, the minimum after the gap bullish Monday in the area of 1.0820 emerges as the support transient prior to the maximum of the last week (Thursday) at 1.0780 (the gap bullish Monday would be covered in case of a visit to this level)», points Piovano.