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8 Feb 2013
Forex: EUR/USD keep the red after US deficit
The single currency is attempting a rebound towards the 1.3400 mark after the US trade deficit shrunk to $38.5 billion during December from $48.6 billion in the previous month.
Against the backdrop of yesterday’s Draghi’s press conference, analyst Derek Halpenny at BTMU commented “There is much to worry about in the euro-zone and although the worries of an actual break-up of the single currency may now have been reduced considerably, the economic conditions will remain dire and hence the tolerance of a strong euro will be much less than before”.
EUR/USD is now losing 0.11% at 1.3380 and a dip below 1.3349 (low Jan.25) would accelerate the descent to 1.3265 (low Jan.23) and the 1.3215 (Lower Bollinger).
On the flipside, resistance levels line up at 1.3462 (low Feb.5) ahead of 1.3515 (MA10d) and then 1.3577 (high Feb.7).
Against the backdrop of yesterday’s Draghi’s press conference, analyst Derek Halpenny at BTMU commented “There is much to worry about in the euro-zone and although the worries of an actual break-up of the single currency may now have been reduced considerably, the economic conditions will remain dire and hence the tolerance of a strong euro will be much less than before”.
EUR/USD is now losing 0.11% at 1.3380 and a dip below 1.3349 (low Jan.25) would accelerate the descent to 1.3265 (low Jan.23) and the 1.3215 (Lower Bollinger).
On the flipside, resistance levels line up at 1.3462 (low Feb.5) ahead of 1.3515 (MA10d) and then 1.3577 (high Feb.7).