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May 08 - 09:55 PM

EUR/USD - Pivotal Support Under Pressure, As EZ Data Falters

By Andrew M Spencer  —  May 08 - 08:05 PM
  • -0.1% after closing down 0.15% amid soft EZ data and the firmer USD

  • German industrial output slumped, and euro zone investor morale dipped

  • Resilient inflation undermines hopes of a European spring economic boost

  • Yield spreads widened with 10yr bund +2bp to 2.318%, 10yr UST +7bp 3.512%

  • Charts; 21-day Bollinger bands contract, momentum studies edge lower

  • 5, 10 & 21-day moving averages rise - positive setup needs progress soon

  • Close below well-tested 1.0997 rising 21-DMA would end topside bias

  • 1.0975 561mln and 1.1025 678mln are significant-close strikes for May 9

    For more click on FXBUZ

Source:
Refinitiv IFR Research/Market Commentary

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