There are three important news releases this afternoon in the US all of which will move the euro to dollar pair, so you will need to bear this in mind in any technical view of the currency pair. The first news out is the Core Durable Goods data, released at 1.30 UK time. The previous figure was 0.6% and the forecast for this afteroon is -2.6%. The data looks at the change in the total value of new purchase orders placed with manufacturers for durable goods ( excluding transportation items) and if the actual beats the forecast then this is generally good for the currency. This is a leading indicator and signals to the market changes in purchasing activity, with rising trends indicating an economy in growth, and falling trends a shrinking economy. I think on this occassion it is a question of how bad the figures will be, not if they are bad! The next one is Unemployment Claims, which is self explanatory ( I think) – last time round the figure was 589,000 with a forecast this time of 580,000. This is generally considered a lagging indicator and again a sign of positive or negative news for the economy in general. Again if the actual beats the forecast then it is generally a good signal for the home currency.

Finally at 3pm ( UK time ) we have the New Homes Sales with a previous of 407,000 and a forecast of 395,000. The figures are relased monthly and they tend to have a greater impact when released ahead of Exisiting Home Sales, since the two reports are closely correlated. Again, if the actual figures are better than forecast this is generally good for the home curency, the US dollar.  This is a leading indicator as an improvement or decline will have an effect in several different industries and markets, so the effects can be far reaching for the broader economy.