Euro Slides with No Resolution as Greece Rejected Bailout Offer06 July, 2015 by Aayush Jindal in Market Analysis
- Euro fell and opened this week with a gap lower against most major currencies, including the US Dollar.
- According to reports, Greeks rejected the bailout offer with ‘No’ vote surpassing the 61 percent figure.
- In Australia, the ANZ job advertisements released by the Australia and New Zealand Banking Group Limited (ANZ) registered an increase of 1.3% in June 2015, compared with the preceding month.
EURUSD Technical Analysis
The Euro continued to trade under pressure, as there seems to be no resolution for Greece crisis. All recent reports suggest that Greeks rejected the bailout offer with ‘No’ vote surpassing the 61 percent figure. This is a concerning sign, and the market might react abruptly in the session to follow. The shared currency opened the week with a minor gap lower and traded as low as 1.0968 against the US Dollar.
The EURUSD pair after testing 1.0960 support area managed to trade higher and it looks like the pair might succeed in closing the opening week gap. There is a bearish trend line formed on the hourly chart, which is likely to act as a hurdle for the pair if it moves higher. The 100 hourly simple moving average is aligned perfectly with the highlighted trend line, adding to the value of the stated resistance.
The pair recently tested the 50% Fib retracement level of the last drop from the 1.1120 high to 1.0968 low. The hourly RSI is below the 50 level, suggesting that buyers are struggling to take the pair higher. Any major upsides may be seen as a selling opportunity in the near term.
Australian ANZ job advertisements
Earlier during the Asian session, the Australian ANZ job advertisements, which presents the number of job advertisements in the major metropolitan newspapers and on the internet sites was released by the Australia and New Zealand Banking Group Limited (ANZ). The outcome was above the forecast, as there was an increase of 1.3% in ads in June 2015, which was a lot higher when compared with the last reading of 0%.
German Factory Orders
In the Euro Zone, the German Factory orders report will be released by the Deutsche Bundesbank. The forecast is lined up for a decrease of 0.4% in order in May 2015, compared with the preceding month. Any additional decline might weigh on the shared currency moving ahead.