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14 Nov 2013
EUR/USD supported around 1.3420
FXstreet.com (Edinburgh) - It seems the EUR’s decline stalled around the 1.3420 level on Wednesday, as the EUR/USD is now attempting a rebound to the vicinity of 1.3440.
EUR/USD weaker after EMU’s GDP
The offered tone around the shared currency has intensified after EMU GDP figures for the third quarter showed the bloc’s economy has expanded below the median at 0.1% vs. 0.2%, weighing on investors’ sentiment. In light of the data, Analyst martin van Vliet at ING commented, “today’s GDP report provides a firm reminder that the Eurozone recovery is still very fragile. Although leading indicators suggest that the recovery should continue heading into next year, we expect only a modest acceleration in the pace of growth. The sluggish growth outlook implies that disinflationary forces will likely remain in place for the time being. Against this backdrop, further monetary easing by the ECB certainly cannot be excluded”.
EUR/USD key levels
As of writing the pair is retreating 0.22% at 1.3433 with the immediate support at 1.3390 (low Nov.13) ahead of 1.3359 (low Nov.12) and finally 1.3345 (low Nov.11). On the upside, a break above 1.3499 (high Nov.14) would open the door to 1.3529 (high Nov.7) and then 1.3548 (high Nov.6).
EUR/USD weaker after EMU’s GDP
The offered tone around the shared currency has intensified after EMU GDP figures for the third quarter showed the bloc’s economy has expanded below the median at 0.1% vs. 0.2%, weighing on investors’ sentiment. In light of the data, Analyst martin van Vliet at ING commented, “today’s GDP report provides a firm reminder that the Eurozone recovery is still very fragile. Although leading indicators suggest that the recovery should continue heading into next year, we expect only a modest acceleration in the pace of growth. The sluggish growth outlook implies that disinflationary forces will likely remain in place for the time being. Against this backdrop, further monetary easing by the ECB certainly cannot be excluded”.
EUR/USD key levels
As of writing the pair is retreating 0.22% at 1.3433 with the immediate support at 1.3390 (low Nov.13) ahead of 1.3359 (low Nov.12) and finally 1.3345 (low Nov.11). On the upside, a break above 1.3499 (high Nov.14) would open the door to 1.3529 (high Nov.7) and then 1.3548 (high Nov.6).