Industrial production in Germany grew at a pace of 0.5% on the month in March. This beat estimates of a 0.5% decline for the same period. Data for February was revised lower from 0.7% initially to 0.4%. ECB President Mario Draghi also gave a speech where he said that the central bank “will not accept” defeat on the inflation target.
No Respite to the EURUSD Sideways Range
The common currency continues to trade flat within the levels of 1.1140 and 1.1226. As long as price maintains this range, we expect to see no major shifts to the currency pair. The bias could, however, tip to the upside if we see a breakout above 1.1126. To the downside, price continues to trade near the previous lows and unless the euro breaks down below 1.1140 further declines are unlikely in the near term.
