Broad dollar strength dominated the Asian session, and extended into the European one. News coming from China boosted risk appetite, as the country announced steps to ease housing taxes and lending rules, sending most of the local equity markets higher. European stocks opened strongly up, and rally on the back of positive German data, where unemployment fell to a record low of 6.4% in March. Preliminary results show that German Retail sales grew 3.6% in February compared to a year before, slightly below expectations of a 3.7% growth.
The EUR however trades at fresh 8-days lows against the USD, as Greek debt woes continue to weigh on the common currency. The EUR/USD pair accelerated below 1.0800 and approaches 1.0710, the 23.6% retracement of its latest monthly slide and the immediate support. In the 4 hours chart, the technical picture favors the downside, as the 20 SMA gains bearish slope well above the current level, around 1.0850, whilst the technical indicators stand in negative territory, particularly with the RSI heading sharply lower around 31.
Further declines below the mentioned Fibonacci level should lead to a downward acceleration towards the 1.0660, a strong static support level, whist if the slide extends below this last, the 1.0620 price zone comes next. Former lows around the 1.0800 figure are the immediate resistance, and it will take a recovery above it to see the pair turning back north, eyeing then the 1.0865 level.
View Live Chart for EUR/USD
The EUR however trades at fresh 8-days lows against the USD, as Greek debt woes continue to weigh on the common currency. The EUR/USD pair accelerated below 1.0800 and approaches 1.0710, the 23.6% retracement of its latest monthly slide and the immediate support. In the 4 hours chart, the technical picture favors the downside, as the 20 SMA gains bearish slope well above the current level, around 1.0850, whilst the technical indicators stand in negative territory, particularly with the RSI heading sharply lower around 31.
Further declines below the mentioned Fibonacci level should lead to a downward acceleration towards the 1.0660, a strong static support level, whist if the slide extends below this last, the 1.0620 price zone comes next. Former lows around the 1.0800 figure are the immediate resistance, and it will take a recovery above it to see the pair turning back north, eyeing then the 1.0865 level.
View Live Chart for EUR/USD
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