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CEE FX: US Data Offers Limited Reprieve for CE3 FX

CEE FX

The broad risk-off tone across global markets has been weighing on CE3 FX for the majority of the session, with the weaker US PPI data offering only brief and moderate reprieve for currencies in the region. The Czech koruna has displayed greater resilience compared to its peers – as has been the theme over the past month – while the Hungarian forint and Polish zloty have each recorded fresh cycle lows today. A full technical update can be found below:

  • EURHUF is trading higher today as it extends the current bull cycle. The recent rally reinforces a bullish theme and has resulted in a break of a number of important resistance points. 395.73, 76.4% of the Mar 12 - May 28 bear leg, has been cleared today. This signals scope for an extension towards 399.75, the Mar 12 high and a key resistance. Key short-term support has been defined at 388.62, the Jun 7 low.
  • EURPLN has recently recovered from its latest lows and the cross has also traded higher this week. 4.3431, 76.4% of the Apr 16 - May 28 bear leg, has been breached. The continuation higher paves the way for a climb towards 4.3728, the Apr 16 high. To reinstate a recent bearish theme, the cross needs to trade through support at 4.2727, the Jun 6 low. 
  • EURCZK continues to trade within a relatively narrow range. Bulls look for a move through the 200-DMA at 24.815, an average which capped gains in the second half of May and into June. Meanwhile, bears look for a resumption of losses past the Jun 7 low of 24.537 and the Jan 8 low of 24.458.
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The broad risk-off tone across global markets has been weighing on CE3 FX for the majority of the session, with the weaker US PPI data offering only brief and moderate reprieve for currencies in the region. The Czech koruna has displayed greater resilience compared to its peers – as has been the theme over the past month – while the Hungarian forint and Polish zloty have each recorded fresh cycle lows today. A full technical update can be found below:

  • EURHUF is trading higher today as it extends the current bull cycle. The recent rally reinforces a bullish theme and has resulted in a break of a number of important resistance points. 395.73, 76.4% of the Mar 12 - May 28 bear leg, has been cleared today. This signals scope for an extension towards 399.75, the Mar 12 high and a key resistance. Key short-term support has been defined at 388.62, the Jun 7 low.
  • EURPLN has recently recovered from its latest lows and the cross has also traded higher this week. 4.3431, 76.4% of the Apr 16 - May 28 bear leg, has been breached. The continuation higher paves the way for a climb towards 4.3728, the Apr 16 high. To reinstate a recent bearish theme, the cross needs to trade through support at 4.2727, the Jun 6 low. 
  • EURCZK continues to trade within a relatively narrow range. Bulls look for a move through the 200-DMA at 24.815, an average which capped gains in the second half of May and into June. Meanwhile, bears look for a resumption of losses past the Jun 7 low of 24.537 and the Jan 8 low of 24.458.