EUR/USD drops below 1.0700 as French election uncertainty grows
The EUR /USD pair declined on Tuesday as the euro fell on nervousness ahead of the French elections and weak German industry data. Weaker output in manufacturing and construction drove the biggest monthly drop in German …
The EUR /USD pair declined on Tuesday as the euro fell on nervousness ahead of the French elections and weak German industry data.
Weaker output in manufacturing and construction drove the biggest monthly drop in German industrial production in nearly eight years in December.
Industrial output fell by 3.0 percent on the month, Tuesday's data showed. This was weaker than prediction and far below the consensus forecast for a rise of 0.3 percent.
The ongoing weakness is set to continue for this pair as the resistance level at 1.0713 is likely to act as strong barrier to the bulls and bring a further decline towards lower levels.
To the upside, the immediate resistance can be seen at 1.0686, a break above this level would expose the pair to next resistance level at 1.0713.
To the downside, immediate support can be seen at 1.0655, a break below at this level will open the door towards next level at 1.0610.
