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22 Apr 2013
Forex: EUR/USD in red around 1.3040/45
FXstreet.com (Barcelona) - The demand for the single currency remains subdued on Monday, as the cross continues to navigate in the red territory after giving away initial gains.
“Already the prospects of the ECB cutting its benchmark lending rate from 0.75% have increased with President Draghi saying that inflation will be on the 'low side' next year, IMF head Lagarde noting that 'of all the major central banks in the world, the ECB is the one that still has room to maneuver', and Bundesbank President Wiedmann suggesting the ECB may adjust interest rates in response to new information”, assessed FX Strategist M.Mohi-uddin at UBS.
At the moment, the cross is losing 0.23% at 1.3046 and a breakdown of 1.3036 (hourly lows Apr.22) would open the door to 1.3001 (low Apr.17) and finally 1.2969 (MA21d).
On the flip side, resistance levels line up at 1.3130 (high Apr.19) ahead of 1.3202 (high Apr.16) and 1.3229 (50% Feb-Apr slide).
“Already the prospects of the ECB cutting its benchmark lending rate from 0.75% have increased with President Draghi saying that inflation will be on the 'low side' next year, IMF head Lagarde noting that 'of all the major central banks in the world, the ECB is the one that still has room to maneuver', and Bundesbank President Wiedmann suggesting the ECB may adjust interest rates in response to new information”, assessed FX Strategist M.Mohi-uddin at UBS.
At the moment, the cross is losing 0.23% at 1.3046 and a breakdown of 1.3036 (hourly lows Apr.22) would open the door to 1.3001 (low Apr.17) and finally 1.2969 (MA21d).
On the flip side, resistance levels line up at 1.3130 (high Apr.19) ahead of 1.3202 (high Apr.16) and 1.3229 (50% Feb-Apr slide).