FXstreet.com (Barcelona) - European stock markets are going through gains on Tuesday as confidence on financials seems to have returned, while the Pound attempts t escape from yesterday's lows, and the Euro sees its rally coming to an end.
European stock markets have taken a deep breath on Tuesday after shares of financials reversed partially Monday's losses on the back of news by Citigroup having its best quarter since 2007.
Macroeconomics have been mean with British economy, as manufacturing production posted its 11th consecutive decline, and a sharper then expected one, while German CPI increased 10% year on year.
The Sterling struggling to pick up; Euro rally stalls
The Pound has tried several times to break resistance level at 1.3850, but it has been unsuccessful so far. Economic indicators were not very supportive for the Cable it has to be said, and after its last rejection, the Pound has dropped back and trades around 1.3830 at midday central European time.
The Euro has found an strong resistance at 1.2727 on its rally from 1.2579 (Mar 9 high). After several attempts to break it, 1.2727 has remained intact. Nevertheless, while above 1.2600, the pair remains in a bullish trading configuration from 1.2455 (Mar 3 low)
USD/JPY has been rejected by the 99.15 resistance level, and on its withdrawal, the pair has managed to break below 98.50 resistance level.