FX.co ★ Global macro overview for 24/06/2016

Global macro overview for 24/06/2016:

A mixed bag of data regarding the Eurozone flash PMI's was released yesterday. For the whole EU, only the Manufacturing PMI has beaten the expectations raising to 52.6 points, a 1.1 point more than the previous month's reading and 1.2 points more than the expected number. The Services PMI for the whole EU was worse than expected and worse than a month ago with 52.4 points, 1.1 points less than a month ago and 1.2 points less than the expected number. The Composite PMI disappointed as well, bringing only 52.8 points, 0.3 points less than a month ago and still below the expectations. Only the German Manufacturing PMi was better than expected and better than a month ago, the rest of the indicators from all over the EU were worse than expected. In conclusion, the business conditions and the general health of the EU economy has deteriorated a little, but still, there is no sign of a deep recession, and the next month's indicators are expected to be better than the current ones.

Let's now take a look at the EUR/USD technical picture on the 4H time frame. After the UK referendum vote, this pair is moving down, and the new lower low has been made as well. The golden trend line has been violated, and it will act as a resistance together with the level of 1.1097. It looks like the bears have control over this market, so the next support is seen at the levels of 1.0911 and 1.0821.