FxWirePro: EURUSD trades below 1.1300 on weak Eurozone PMI data, good to sell on rallies

EUR/USD has once again declined sharply after a a jump till 1.13933 level. ECB has kept its interest rates unchanged and confirmed that they will end QE at end of the month. They will be reinvesting the redemption. ECB President was sightly pessimistic and has downgraded growth and inflation. Italy has agreed to European Commission and has reduced budget deficit to 2.04% from 2.4%. The spread between Italy and German yield declined to 270 basis point from 330. The pair was trading lower weaker than expected Eurozone PMI data.after It is currently trading around 1.13790.

On the higher side, near term resistance is around 1.13600 level and any violation above targets 1.1400/1.1450. The pair should break above 1.1500 for further direction.

The near term support is around 1.1300 and any break below targets 1.12600/1.12180. Any violation below 1.1200 confirms bearish continuation.

It is good to sell on rallies around 1.1320-25 with SL around 1.1365 for the TP of 1.12180.