FXstreet.com (Barcelona) - The EUR/USD has fallen around 50 pips last hour from 1.3277 to 1.3228 after the US March PPI and Retail sales data. Currently, the pair is trading around 1.3230/50 after falling 1.00% from the 1.3374 opening price.
Producer price index has fallen 1.2% between February and march, worst than 0.0% expected by market, as well as a 3.5% decreases on PPI year over year with markets yearly expectations of 2.2% decreases. Excluding Food and energy, PPI has posted 0.0% no monthly basis and it has risen 3.8% YoY in March.
Retail sales has collapsed 1.1%, between February an March, instead 0.3% increases expected by market. Excluding autos, retails sales has fallen 0.9% in March, worst than 0.0% expected by experts.
Valeria Bednarik, FXstreet.com collaborator, says: After U.S. negative Retail Sales reading, Euro spike to a new intraday low of 1.3225 and remains close to that level and pushing down. The pair has found some support at the 20 SMA that anyway remains flat at 1.3223. Tough congestion zone between 1.3210/30 should hold the downside, until U.S. opening. Clear break under that level, will find next support at 1.3180 and the 1.3140 zone. Above 1.3260 the pair could regain bullish momentum, although seems unlikely at the moment, with next resistances at 1.3260 and 1.3297.
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