EUR-USD prediction june 8 2012

forex trading outlook today - EUR-USD prediction june 8 2012 : EUR/USD is currently dealing around session lows at 1.2520 last, after falling from session highs at 1.2574 by Tokyo open, when both good Japan GDP figures came out, and China cutting interest rates for first time in few years happened about same time, with market participants understanding the Chinese move was an indication of worse things to come, starting with big data being published this Saturday in China, which now are expeted to come soft. Nikkei index is down at the moment by -2.29%.

London session ahead will be a soft one in EUR macro related data, also with no key EZ sovereign debt auctions going on. Spanish 10y yields have considerably gone down barely above 6% at last, and Germany 10y yields rising at 1.37%. German trade balance will be out at 06:00 GMT, followed by French budget and trade balance 45 minutes later, and Italian industrial production at 09:00 GMT.

Immediate support to the downside for EUR/USD shows at recent session lows as well as intraday level 1.2492/1.2513, where “FX market and interbank dealers report plenty of buying interest near 1.2500 in EUR/USD”, as reported by Forexlive, followed by May 29 lows/Jun 01 highs at 1.2460, and Tuesday's lows 1.2410. For the upside, closest resistance comes at Tuesday's highs 1.2542, followed by May 29 highs 1.2575, and May 28/Jun 07 highs-May 18 lows at 1.2622/42.

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