When is the US GDP report and how could it affect EUR/USD?

US Q3 GDP overview

Tuesday's US economic docket highlights the release of the final GDP print for the third quarter, scheduled at 13:30 GMT. The report is expected to confirm the prior two estimates and show that the world's largest economy expanded by 33.1% annualized pace during the July-September quarter.

How could it affect EUR/USD?

Given that this week's price action has been exclusively driven by developments surrounding the coronavirus saga, the data is unlikely to provide any impetus. That said, any meaningful divergence from the expected reading – though seems unlikely – might infuse some volatility and produce some meaningful trading opportunities.

Meanwhile, Yohay Elam, Analyst at FXStreet offered a brief technical outlook for the major and writes: “Euro/dollar still has upside momentum on the four-hour chart and trades above the 50, 100 and 200 simple Moving Averages after a quick dip below the 50 SMA on Monday. The Relative Strength Index is below 70, outside overbought conditions.”

Yohay further provided important technical levels to trade the pair: “Resistance awaits at the daily high of 1.2250, followed by the 2020 peak of 1.2272. Further above, round 1.23 is eyed. Support is at the daily low of 1.2213, followed by 1.2175, a high point last week, and then by 1.2130 – a double bottom.”

Key Notes:

   •  EUR/USD Forecast: From panic to Santa Rally? Why the skies are clearing, 1.23 is in sight

   •  EUR/USD maintains the threat of a lengthier correction while below 1.2259 – Credit Suisse

   •  EUR/USD: risk-off sentiment drives pair down

Description

The Gross Domestic Product Annualized released by the US Bureau of Economic Analysis shows the monetary value of all the goods, services and structures produced within a country in a given period of time. GDP Annualized is a gross measure of market activity because it indicates the pace at which a country's economy is growing or decreasing. Generally speaking, a high reading or a better than expected number is seen as positive for equities, while a low reading is negative.