The Euro continues to trade between 1.15 and 1.16 as investors await any major development in the Brexit talks between the EU and the UK. Investors were expecting a deal to be struck on Monday but negotiators struggled to agree on some issues, most notable the Irish border. For today, investors need to monitor the release of the European ZEW Economic Sentiment figure as it may affect the performance of the Common currency. It will be interesting to see how European institutional investors feel about the future of the global economy given the wide array of political and economic tensions around the world.
The Common currency remains between the 1.1517 support and 1.1631 resistance. The currency is ranging within this range in anticipation of any developments relating to the Brexit negotiations as the outcome of these talks will dictate the long term bias of the currency. If a positive development relating to Brexit occurrs, then the pair will manage to break above the 1.1631 resistance exposing 1.1710. If a negative development is to take place, then prices will break below the 1.1517 resistance exposing 1.1438.
Support: 1.1517 1.1438
Resistance: 1.1631 1.1710