The EUR/USD pair started this Tuesday with a negative footing, extending its decline down to 1.1065, after breaching the 1.1100 level. Market talks surrounding Greece and the possibility that the IMF is considering retreat its support to the country weighed on Greek bonds, and dragged the common currency lower. European Producer price index for March met expectations yearly basis, printing -2.3% against previous -2.8%, whilst monthly basis, it surged 0.2% against expectations of a 0.3% advance. But authorities are quite optimistic: according to the European Commission Economic Growth Forecast, the region GDP for this 2015 will reach 1.5% against previous expectations of 1.3%, whilst inflation has been review up to 0.1% from -0.1%.
The pair recovered briefly above 1.1100 following the news, but struggles around the level, and with technical readings still favoring the downside according to the 4 hours chart that shows that the price holds below its 20 SMA, whilst the technical indicators maintain their bearish slope in negative territory. The pair has a strong static support level at 1.1050, former highs and the 38.2% retracement of its latest bullish run, which means a break below it should fuel the decline towards the 1.1000 region. The immediate resistance on the other hand, stands at 1.1120, with a recovery above supporting additional short term advances towards the 1.1160 region.
View live chart of the EUR/USD
The pair recovered briefly above 1.1100 following the news, but struggles around the level, and with technical readings still favoring the downside according to the 4 hours chart that shows that the price holds below its 20 SMA, whilst the technical indicators maintain their bearish slope in negative territory. The pair has a strong static support level at 1.1050, former highs and the 38.2% retracement of its latest bullish run, which means a break below it should fuel the decline towards the 1.1000 region. The immediate resistance on the other hand, stands at 1.1120, with a recovery above supporting additional short term advances towards the 1.1160 region.
View live chart of the EUR/USD
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