The common European currency is still trading within the scope of the 1.3358-1.3411 price range, formed on Friday, However, the price is currently going down to the bottom of the range while staying within its boundaries during today's European trading session.
Still, the market situation remains uncertain amid mixed European economic figures coupled with poor economic stats from the USA. In particular, the US PPI went down from 0,4% to 0,15% in July (with a glance at seasonality). At the same time, the Michigan index dropped from 81.8 down to 79.2 in August. This is the lowest level since November 2013.
The purchase volume of long-term US bonds also saw a major decline. At the same time, the US industrial production volume remained unchanged at 0,4%.
Amid these negative figures from the USA, the common European currency managed to gain some strength against the US Dollar up to 1.3411, which is the new local high. Still, earlier this morning, the price managed to go down to 1.3384.
Meanwhile, traders are looking forward to trade balance figures. In a couple of hours Spain and the Eurozone are going to publish their trade balance figures. The previous report from Spain was positive. In particular, the external trade deficit of the Eurozone's 4th biggest economy narrowed from - 2.200 billion euros down to -1.980 billion euros jun July.
This time, market participants are mostly pessimistic about the forthcoming figures.
As for the Eurozone's trade balance, the surplus dropped by 500 million euros during the same reporting period.
EURUSD
Masterforex-V Academy reports that EURUSD keeps on trading within the scope of a certain price range. The H1 chat confirms that. At this point, the price failed to break out of the range. It just made an attempt to pin through the top of the range but failed to consolidate above it. So, it appears that the currency pair is currently trading within the scope of 2 price ranges 1.3335-1.3432 and 1.3348-1.3414.
It is also clear that the price tried o overcome an extra level of resistance, which takes the from of a sloping line built through 1.3432 and 1.3414. Still, the price failed to consolidate above it and went back into te range. So, we can see the price keep on developing a narrowing triangle. The bias is ambiguous since there is no clear tendency so far.
Since there are no key economic reports scheduled for today, the price may well continue consolidating today, Masterforex-V Academy experts assume.
