If good news can’t even buy you a rally then you know you’re in trouble.
Germany was one of the biggest drivers of retail sales in June as sales rose to 1.3% from -0.2% in May. Spain was one of the most notable fallers as they sunk 0.8% from +0.9% prior.
Eurozone retail sales by country m/m 05 08 2014
The euro has been bumping along under the 55 h4 ma this week and is finding support again at 1.3380/85 with a low so far of 1.3389.
EUR/USD H4 chart 05 08 2014
Both the dollar and the pound have conspired to aid the fall but the data has been pretty good so it’s still a surprise that we’ve fallen so much (in relative terms). It is what it is though and we’ll see if we get any follow through as we head towards the US data.
EUR/GBP is looking at trying to build an intraday base at 0.7920 and also has the 55 h4 ma to play with but as support this time. It’s just crossed the 100 h4 ma signaling a possible rebound from here.
EUR/GBP H4 chart 05 08 2014
If cable gives up the highs to follow the dollar bid coming in then we could get another push towards 0.8000 if EUR/USD hold up.
