14 Apr 2014
EUR/USD is in retreat slashed by negative comments
FXStreet (Moscow) - EUR/USD opened the day at 1.3843, and since that time slightly edged down to 1.3837 session low by the moment.
IP is the key
The euro finally got pressured by a series of dovish comments from the ECB officials. First, it was Draghi during the weekend, and now we hear Noyer and German fin min Schaeuble repeating one and the same thing – strong euro is a damage for the economy, and a danger to price stability, as “strong euro reduces inflation rate by 0.5%”. But the party is not over yet. Today we will see Italian CPI, and the EMU Industrial Production data, and the latter may become a good catalyst in case of impressive expectations miss. The outcome is hard to forecast given the mixed data we’ve got last week – Germany printed above expectations, and France disappointed. The IP is forecasted to slower the growth to 1.7% from 2.1% previously. If it comes out better than expected, we may see the euro come back with initial target at 1.3885 resistance level.
What are today’s key EUR/USD levels?
Today's central pivot point can be found at 1.3885, with support below at 1.3833, 1.3842 and 1.3820, with resistance above at 1.3906, 1.3928, and 1.3949. Hourly Moving Averages are mostly bearish, with the 200SMA at 1.3789 and the daily 20EMA neutral at 1.3803. Hourly RSI is bearish at 34.
IP is the key
The euro finally got pressured by a series of dovish comments from the ECB officials. First, it was Draghi during the weekend, and now we hear Noyer and German fin min Schaeuble repeating one and the same thing – strong euro is a damage for the economy, and a danger to price stability, as “strong euro reduces inflation rate by 0.5%”. But the party is not over yet. Today we will see Italian CPI, and the EMU Industrial Production data, and the latter may become a good catalyst in case of impressive expectations miss. The outcome is hard to forecast given the mixed data we’ve got last week – Germany printed above expectations, and France disappointed. The IP is forecasted to slower the growth to 1.7% from 2.1% previously. If it comes out better than expected, we may see the euro come back with initial target at 1.3885 resistance level.
What are today’s key EUR/USD levels?
Today's central pivot point can be found at 1.3885, with support below at 1.3833, 1.3842 and 1.3820, with resistance above at 1.3906, 1.3928, and 1.3949. Hourly Moving Averages are mostly bearish, with the 200SMA at 1.3789 and the daily 20EMA neutral at 1.3803. Hourly RSI is bearish at 34.