The euro rose in the morning against a number of major currencies after the release of a good report on Germany's exports, as well as on reducing tensions around Catalonia and Spain.
According to the Federal Bureau of Statistics of Germany, exports from Germany in August this year grew due to strong demand from the euro area countries. Exports increased by 3.1% compared with July, compared with August 2016 increased by 7.2%. Exports to the euro area increased by an impressive 10.6%.
Data on the optimism of small business owners in the US exerted pressure on the US dollar, which allowed the pair EUR/USD to get close to the weekly highs.
According to the report of the National Federation of Independent Business, the index of optimism for small businesses declined by 2.3 points in September this year compared to August, and amounted to 103 points. Economists predicted that in September the index will be 105.4 points.
As noted in the report, the main pressure on the index is associated with hurricanes, which affected the buying activity.
As for the technical picture of the EUR/USD pair, the consolidation above the level of 1.1780 took place and now buyers need to hold it, in order to count on continuing the short-term upward trend in the resistance area of 1.1805 with an exit to 1.1860 by the middle of the week. In the event of a return to the level of 1.1765, the pressure on the euro could increase significantly, which would lead to a fall in the trading instrument to the larger support levels of 1.1730 and 1.1690.
The British pound practically ignored the data on the foreign trade deficit, which again rose in August.
According to a report of the National Bureau of Statistics, the deficit of foreign trade in goods in Britain in August this year was 14.2 billion pounds, an increase of 1.4 billion pounds. Economists expected that the deficit of foreign trade in goods in the UK will be at the level of 11.4 billion pounds.
A small support for the pound was provided by the data on production growth in the manufacturing industry. According to the report, production increased in August this year by 0.4% compared with the previous month, while economists forecast growth of 0.3%. In comparison with the same period of the previous year, the indicator grew by 2.8%.
As for the technical picture of GBP/USD, the growth potential remains. The main bullish target will be the area of 1.3250, where large sellers will enter the market, which will continue to plunge the British pound in the medium term. In the more short term, the pound's return to the level of 1.3170 will hit a number of stop-orders of buyers, which will bring a trading instrument to the support area of 1.3100 in the near future.