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EURHUF Resumes Trading With Upward Bias

HUNGARY
  • EURHUF has started the session on the front foot again, having bounced as much as 1% off cycle lows on Tuesday to a high of 371.81 yesterday. Nevertheless, the cross sits well within Wednesday’s ranges this morning after yesterday’s price action was driven by less-favourable developments regarding frozen EU funds. The 20-day EMA marks initial resistance, intersecting today at 372.20, ahead of key resistance at the 50-day EMA further out. On the downside, 366.41, the Mar 30 2022 low, marks the support level to watch.
  • Hungary's state debt relative to GDP reached 73.3% at the end of the Q1, preliminary data released by the NBH showed this morning. The ratio was unchanged from the end of 2022.
  • There is little else in the way of domestic news flow or data today, with markets looking ahead to the first potential cut to the 18% effective rate at next Tuesday's NBH meeting.

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