When is the German ZEW survey and how could it affect the EURUSD pair?
February 19, GKFX – The ZEW will release its German Economic Sentiment Index and the Current Situation Index at 1000 GMT in the EU session later today, reflecting institutional investors’ opinions for the next six months.
The headline economic sentiment index is expected to fall to -13.4 in February as against to -15.0 booked in the previous month. Meanwhile, the current situation sub-index is also likely to decelerate further to 20.0 versus 27.6 recorded in January.
How could German ZEW Survey affect EURUSD?
FXStreet´s own Analyst, Haresh Menghani writes: ” Any meaningful retracement is likely to find decent support, rather seen as a buying opportunity and should limit any further downside near the channel resistance break-point, around the 1.2855-50 region. Failure to defend the mentioned support might accelerate the fall back towards the 1.2800 handle, below which the pair is likely to turn vulnerable to aim towards challenging the 1.2700 round figure mark with some intermediate support near the 1.2750-45 zone.”
“On the flip side, the 1.2940-50 region now seems to act as an immediate resistance, which if cleared should assist the pair to aim towards reclaiming the key 1.30 psychological mark, also nearing the very important 200-day SMA. A strong follow-through buying might negate any near-term bearish bias and pave the way for a further near-term appreciating move,” Haresh adds.
About German ZEW
The Economic Sentiment published by the Zentrum für Europäische Wirtschaftsforschung measures the institutional investor sentiment, reflecting the difference between the share of investors that are optimistic and the share of analysts that are pessimistic.
Generally speaking, an optimistic view is considered as positive (or bullish) for the EUR, whereas a pessimistic view is considered as negative (or bearish).
This article was provided by analysts at GKFX. The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.
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