12 Nov 2013
EUR/USD dips to lows on German data
FXstreet.com (Edinburgh) -The single currency hits fresh intraday lows in the wake of German inflation figures during October, dragging the EUR/USD to the vicinity of 1.3380.
EUR/USD weaker after data
German consumer prices are following the broader disinflation trend in the region, with headline CPI contracting at a monthly pace at 0.2% and expanding 1.2% over the last twelve months vs. September’s readings at 0.0% and 1.4%, respectively. Next on tap will be the Italian CPI results, with consensus pointing to the same direction. “Expect the EUR’s fortunes to remain fairly data dependant after the ECB’s surprise rate cut (remember the decision was not unanimous) last week and the pair may remain grounded near the 1.3400 neighbourhood pending EZ GDP numbers due on Thursday. On the topside, the 55-day MA (1.3485) is expected to serve as a key resistance while supports are expected towards 1.3375 before 1.3340”, suggested Emmanuel Ng, Analyst at OCBC Bank.
EUR/USD levels to watch
At the moment the pair is losing 0.21% at 1.3384 and a break below 1.3345 (low Nov.11) would open the door to 1.3318 (low Nov.8) and then 1.3295 (low 7 Nov.). On the upside, the immediate resistance aligns at 1.3438 (high Nov.8) followed by 1.3523 (MA10d) and finally 1.3529 (high Nov.7).
EUR/USD weaker after data
German consumer prices are following the broader disinflation trend in the region, with headline CPI contracting at a monthly pace at 0.2% and expanding 1.2% over the last twelve months vs. September’s readings at 0.0% and 1.4%, respectively. Next on tap will be the Italian CPI results, with consensus pointing to the same direction. “Expect the EUR’s fortunes to remain fairly data dependant after the ECB’s surprise rate cut (remember the decision was not unanimous) last week and the pair may remain grounded near the 1.3400 neighbourhood pending EZ GDP numbers due on Thursday. On the topside, the 55-day MA (1.3485) is expected to serve as a key resistance while supports are expected towards 1.3375 before 1.3340”, suggested Emmanuel Ng, Analyst at OCBC Bank.
EUR/USD levels to watch
At the moment the pair is losing 0.21% at 1.3384 and a break below 1.3345 (low Nov.11) would open the door to 1.3318 (low Nov.8) and then 1.3295 (low 7 Nov.). On the upside, the immediate resistance aligns at 1.3438 (high Nov.8) followed by 1.3523 (MA10d) and finally 1.3529 (high Nov.7).