The Euro appreciated around 0.3 percent yesterday on the back of weakness in the DX. Further, upbeat global market sentiments coupled with rise in German factory orders supported an upside in the currency.
However, sharp upside in the currency was capped as a result of decline in retail sales data of the region. The Euro touched an intra-day high of 1.3547 and closed at 1.351 on Wednesday.
Spanish Services PMI rose to 49.6-mark in October from 49-level in September. Euro Zone Final Services PMI rose to 51.6-mark in October from 50.9 level in September. European Retail Sales declined 0.6 percent in September as against a gain of 0.5 percent in August. German Factory Orders jumped 3.3 percent in September as compared to a decline of 0.3 percent in August.
In today’s session, we expect Euro to trade lower on account of estimates of decline in German industrial production data. Further, weak market sentiments along with strength in the DX will add downside pressure on the currency. Additionally, investors need to keep an eye on ECB policy meeting which is to be held today and any major announcement towards the key rates will provide direction to the currency.
Technical Outlook valid for November 7, 2013
|Euro/INR Nov’13 (NSE/MCX-SX)||Up||84.50/84.30||85.0/85.30|
Read More As