EUR/USD Outlook (17 February 2021)

Overall, EUR/USD is ranging across. Recently, EUR/USD trended into the support zone of 1.20750 after the strengthening of USD as a result of U.S. President Biden’s optimism on achieving his COVID-19 vaccination goal.

The eurozone quarterly flash employment change released yesterday indicated a slowdown in employment growth during the fourth quarter of 2020. Also, the eurozone economy contracted during the same quarter.

• Flash Employment Change q/q (Actual: 0.3%, Forecast: 0.9%, Previous: 1.0% revised from 0.9%)
  
• Flash GDP q/q (Actual: -0.6%, Forecast: -0.7%, Previous: -0.7%)
  

Also, the eurozone and German ZEW economic sentiment data released yesterday indicated an increase in the level of optimism on the economic outlook for the eurozone and Germany.

• ZEW Economic Sentiment (Actual: 69.9, Forecast: 59.2, Previous: 58.3)
  
• German ZEW Economic Sentiment (Actual: 71.2, Forecast: 60.0, Previous: 61.8)
  

Currently, EUR/USD is testing the next support zone of 1.20750 and the next resistance zone is at 1.23170.
Look for selling opportunities of EUR/USD if it breaks the support zone of 1.20750.