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13 Aug 2013
EUR/USD continues to lose footing after failure at resistance last week
FXstreet.com (Barcelona) - The EUR/USD opened Tuesday’s session on the downside once again after two straight losing sessions following a failure to breakout above 1.3414 resistance last week.
Data to drive the action – but how much juice does it have left?
On Tuesday morning, traders will get to digest German CPI, EuroZone Industrial Production, the German Current Situation / Economic Sentiment and EuroZone Economic Sentiment. Any or all of that data has the power to move the markets if the results are too far outside of consensus estimates. The difficulty for the euro, however, is that more and more analysts are starting to “expect” better results – thereby muting any surprise.
Technical outlook for EUR/USD
The EUR/USD topped out last Thursday at 1.3399 – just shy of the 1.3414 resistance level that leading technicians have pointed to as critical resistance recently. Critical support for the bulls comes in at the 1.3187 level. A cross below that level will confirm that a top was made last Thursday and that a move down to the 1.2400 – 1.2500 range is under way.
Data to drive the action – but how much juice does it have left?
On Tuesday morning, traders will get to digest German CPI, EuroZone Industrial Production, the German Current Situation / Economic Sentiment and EuroZone Economic Sentiment. Any or all of that data has the power to move the markets if the results are too far outside of consensus estimates. The difficulty for the euro, however, is that more and more analysts are starting to “expect” better results – thereby muting any surprise.
Technical outlook for EUR/USD
The EUR/USD topped out last Thursday at 1.3399 – just shy of the 1.3414 resistance level that leading technicians have pointed to as critical resistance recently. Critical support for the bulls comes in at the 1.3187 level. A cross below that level will confirm that a top was made last Thursday and that a move down to the 1.2400 – 1.2500 range is under way.