The ZEW institute weak release confirms investors' concerns about the leading euro-zone economy deflationary scenarios development. Meanwhile, the bond market is supporting the euro bulls: the German 10-year government bond yields are increasing relative to their US and the UK counterparts which increase the investments’ attractiveness into the European assets.
Bulls managed to break through the resistance level of 1.1410, but it is unknown if they are able to retain and develop this success.
The first support is at the level of 1.1410, the second one is at the level of 1.1325. The resistance is at the level of 1.1530, the next one is at the level of 1.1590. The price resumed its upward movement.
We have a confirmed and a strong buy signal. The price is above the Cloud now and it is under the Chinkou Span. The Tenkan-sen and the Kijun-sen are directed upwards. The pair keeps growing until it is above the Cloud
The MACD indicator is in a positive territory. The price is growing.
The pair left the flat range and having passed the first target the level of 1.1410 rushed to the next stop – 1.1530.