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Traders Eye EUR/HUF as it Retraces to 50% Fibonacci Level

HUNGARY
  • Selling activity moderates at the back end of the curve after two days of outflows in 10Y & 20Y.
  • 3Y looking vulnerable to breakout above 1,00 handle towards 1.10.
  • EUR/HUF buoyant at the open approaching the 50% fib of the 31 Dec-07 Jan push lower at 360.85.
  • Both USD strength keeping the EUR under pressure & local bond outflows weighing on HUF.
  • Softer industrial production figures at -1.2% MoM vs 2.8% prior & YoY at 1.6% vs 2.7% prior showing signs of flagging activity under Covid pressure.
  • May see some short interest as spot approaches the 50% fib. SUP1: 359.83, SUP2: 358.14.
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

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