Europe’s second largest economy grew by 0.4% in Q3, according to the initial publication. Year over year growth was 1.6%. This is a bit above expectations for a growth rate of 0.3%. EUR/USD stabilizes above 1.3480 following the release.
The figure for Q2 was revised to the downside: instead of no change in GDP, the updated number now shows a contraction of 0.1%. This isn’t too good. Will Q3 figures also be revised to the downside?
The was capped under 1.3650 during most of the Asian session and dropped lower towards this release. It fell as low as 1.3579 and now trades a bit above this line.
Support is found at 1.3550, followed by 1.3480, which was the trough last week. Resistance is at 1.3650 followed by 1.3725. For more lines and analysis, see the EUR/USD Forecast.
At 7:00 GMT, German GDP will be released, and the figure for the whole continent will be published at 9:00 GMT.
Also at 9:00 GMT, the ZEW institute will release its highly regarded Economic Sentiment indicator, which is expected to go deeper in negative territory. See how to trade this event with EUR/USD.
