Pay Attention To US GDP Growth And Durable Goods Orders Data This Week
Euro was under pressure last Friday after EU Leaders ended Economic Summit without consensus on a recovery plan. EURUSD showed a downward movement and dropped to the 1.1165 main support level
In Federal Reserve Chair Jerome Powell's testimony to the Senate, he touted signs of recovery although he stressed that the outlook remains uncertain amid a lack of visibility about the trajectory of the Covid-19 virus.
On the other hand, Safe havens, GOLD and Yen showed an upward movement last week with worries about a second Covid-19 wave and diplomatic tensions in Asia.
In the upcoming week, watch out for the US GDP Growth on Thursday. The US first-quarter gross domestic product is expected to come out at -5.0%, the same as the previous estimate.
Besides the US GDP numbers, this week's calendar also features U.S. data on Core Durable Goods Orders, PCE Price Index, New Home Sales, Existing Home Sales as well as Services PMI
US Durable goods orders excluding transportation are expected to fall to -2.1% in May.
The Fed’s preferred measure of inflation, the core PCE index, which calculates spending minus volatile food and energy costs, arrives along with personal spending and income numbers from the Commerce Department on Friday. The May core PCE is expected to come out at 0.9%, year on year basis.
In addition to that, we will closely watch Manufacturing and Service PMI Numbers on Tuesday in Eurozone.
The Euro extended losses against the US Dollar on Friday and dropped towards the daily support level of 1.1165. As long as the price stays above 1.1165 on a daily basis, the downward movement may pause and we will see 1.1237 as the key resistance level. In contrast, if the pair breaks down below 1.1165, the next support level can be found at 1.1114.
Support: 1.1165 - 1.1114 - 1.1052
Resistance: 1.1237 - 1.1307 - 1.1365
The GBPUSD pair showed a downward movement and dropped below the key resistance level of 1.2364. As long as the price stays below 1.2364, on a daily basis, the fall may continue and we will follow 1.2286 and 1.2205 as support levels. On the other hand, if the pair rises above 1.2364, the next resistance level is holding at 1.2428.
Support: 1.2286 - 1.2205 - 1.2110
Resistance: 1.2364 - 1.2428 - 1.2502
Japanese Yen rose versus the US Dollar last week with worries about a second Covid-19 wave and diplomatic tensions in Asia.
Focus on the 106.72 daily support level. As long as the pair stays above 106.72, on a daily basis, the downward movement might be limited and we will watch the resistance levels at 106.98 and 107.22. On the other hand, if the price drops below 106.72, the next support level can be seen at 106.41.
Support : 106.72 - 106.41 - 106.15
Resistance: 106.98 - 107.22 - 107.52
Keep your eye on the main resistance level of 18.61 in the Silver Price. In order for the rise to gain more power, it needs to rise and stay above 17.63 on a daily basis. At this point, we will see 18.16 as the next resistance level. Otherwise, if the price shows a downward movement, the support level can be found at 17.11
Support: 17.11 - 16.80 - 16.52
Resistance: 17.63 - 18.16 - 18.61
21 Jun 20 (Sun)
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