At the moment, European currency is traded at the level of 1.1190. The nearest resistance level is 1.1292.
Despite negative Greek news, Euro is holding a position above the level of 1.1000. Support to European currency was provided by unexpectedly positive Spanish macro-economic statistics. It became known that in Q1 economic growth pace in the country was the fastest since pre-crisis times. According to statistical agency INE, the growth amounted to 0.9%. Prime-Minister of Spain Mariano Rajoy has said that economic growth can reach 2.8% this year. However, experts believe that there is low ground for optimism. The biggest problem of Spain is the public debt, which amounts to 170% of GDP and it is not clear yet in what way authorities plan to reduce it.
Monday’s news will include the data on business activity index in the manufacturing sector of Eurozone from Markit.
Support and resistance
The nearest resistance level: 1.1230 – 8/8 Murray level.
Support level: 1.1169 – 7/8 Murray level.
It is recommended to open short positions after breakdown of the level of 1.1169 with protective orders at 1.1200 and the target of 1.1024.