EUR/USD – German Zew has pushed the Euro in its Resistance Zone

Fundamental Analysis

German Zew Economic Sentiment surprised investors  

The German Zew economic sentiment came in at a much better level which has pushed the euro higher and we saw the high of the day against the dollar. The forecast was for 45.3 while the previous reading was 42 and the final reading thrashed both readings with the final number of 49.6. This brought a surprise for the traders as we were expecting  the final reading to fall short of expectation due to an increase in geopolitical tensions in Syria over the past few weeks and more disappointing economic data released recently.

Nevertheless, Angela Merkel’s challenging election situation could see some easing pressure after the German Zew Sentiment reading which is suggesting that the country is on a sturdy economic growth path.