EURUSD (1.1792): The euro posted strong gains yesterday, rising over 1% on the day. The gains came as the single currency was seen steadily rising over the past few sessions. Yesterday’s GDP data from Germany showed an upbeat print of 0.8%. This helped the euro to break past the resistance level of 1.1688 – 1.1710. The break of the falling trend line marks some upside bias in the EURUSD. In the near term, we expect the pullbacks to be limited to the support level that could be established near 1.1688 – 1.1710 level. The new range of 1.1822 – 1.1710 is likely to be maintained in the near term. However, watch for a potential break down below the support level which could suggest a continuation to the downside.
