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EURCZK Breaks Above 200DMA As President Set to Name ‘Dove’ Michl as New Governor

CZECHIA
  • President Zeman will likely choose CNB member Ales Michl as the next central bank governor (according to Seznam).
  • Michl will take over from current governor Rusnok when his term ends at the end of June.
  • As Michl has long been perceived as one of the two CNB doves (with Dedek), CZK lost all of its recent gains (post CNB decision) with EURCZK breaking above its 200DMA (25.0360) this morning.
    • Next resistance to watch on the topside stands at 25.2070.
    • On the downside, support to watch below 25.0360 stands at 25.

Source: Bloomberg/MNI

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