The Ifo institute’s business confidence report for Germany saw a modest rebound in the index. The index beat estimates of 94.9 and rose to 95.0. This was higher than 94.7 which was registered on the index a month ago. Despite the increase, Ifo issued a warning about German manufacturing, which is still in a slump.
Will EUR/USD Break the Support?
Price action in the currency pair is testing the support level of 1.0000 as expected. However, a lot hinges on how price behaves at this level. If the support remains firm, there is scope for a rebound.
This will likely see the EURUSD drifting sideways below the 1.1062 resistance. Alternatively, a convincing break down below the 1.0000 support could open the way for a drop to 1.0952.
