• The EUR /USD pair declined on Monday after German inflation data came in slightly weaker than expected, which took some pressure off the European Central Bank to wind down its stimulus programme.
   
• The latest figures showed German consumer price inflation hit 1.9 percent in January. While that was the highest in three-and-a-half years, it was slightly below forecasts for a 2 percent annual rise.
   
• The data came in slightly weaker than consensus forecast of 2.0 percent. Still, it was the highest annual inflation rate since July 2013.
   
• The ongoing weakness is set to continue for this pair as the resistance level at 1.0790 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 1.0660, a break above this level would expose the pair to next resistance level at 1.0726.
   
• To the downside, immediate support can be seen at 1.0619, a break below at this level will open the door towards next level at 1.0580.
  
  Resistance Levels
  
  R1:  1.0660 (38.2% Retracement level)   
  
  R2: 1.0726 (50% Retracement level)        
  
  R3: 1.0790 (61.8% Retracement level)
  
  Support Levels
  
  S1: 1.0619 (Session lows)                             
  
  S2: 1.0580 (23.6% Retracement level)
  
  S3: 1.0509 (Jan 9th lows)