In Asia, EUR / USD tested the 1.0500 level. From him the pair rebounded to 1.0575. With the arrival on the market of the European participants rate rose to 1.0642. In the morning, the “bulls” were able to play about 76% of yesterday’s fall.
The decline of the US dollar is no news is not worth it. Mixed data on inflation and industrial production of the euro area does not have any impact on the currency pair. Profit from short positions caused a wave of dollar sales and caused major currencies to strengthen. As a result, EUR/USD were performed protective stops placed above 1.0560.
Growth of the euro against the dollar by 140 points – a serious rebound. In this case, “bearish” trend remains in force. If we consider the price formation corrective movement on day period from 01/26/15 to 19/02/15 the current year and projected on the slope of the trend line, the price will meet with her on March 24 at the level of 1.08520.
If Thursday trading on EUR/USD at 1.0695 and will finish higher, then on candlestick analysis will form the signal to the further strengthening of the euro. Against the trend signal can be canceled, but takes a lot of problems for traders who work without protective stops. We’ll have to outstay corrective phase.
Pound found support at 1.4892. From it he recovered to 1.5013. Although the deficit on the trade balance decreased from Britain -9.9 to -8.4 billion euros, the euro / pound is currently in alliance with the “bulls“. This means the euro strengthened against the dollar faster than the pound.
At 15:30 MSK in the US will come February retail sales data, as well as the number of initial claims for unemployment benefits. Given that the dollar was corrected prior to publication of the American statistics, the data can cause strong rally on the trend. Wishing to redeem dollar pullback remains much.