UK retail sales surprise to the upside

<p>A busy morning full of data has passed. First up, the Flash manufacturing and services PMIs for the two biggest countries in the Eurozone: French […]</p>

A busy morning full of data has passed. First up, the Flash manufacturing and services PMIs for the two biggest countries in the Eurozone: French data was better in manufacturing and weaker in services, and Germany was a disappointment all round. This kept pressure on the Euro until the Eurozone manufacturing PMI came out better than expected, pushing the euro higher, and at the time of writing is up 60 points for the day. Later today the ECB will release the minutes of its rate decision and economic reviews.

In the UK, the retail sales were released with a big improvement to 1.2% from an expected 0.4% and a last read of -0.7%. This pushed the cable through the 1.56 level and there is still a very much bid tone to it.

US unemployment claims are expected to rise and so is the existing home sales and the Philly FED, so as it stands we should be seeing some strength in the USD later in the day if as expected are released.



 1.1050-1.1010-1.0960 | Resistance 1.1145-1.1200-1.1240



120.70-120.20-119.80 | Resistance 121.70-122.05-122.60



Support 1.5475-1.5410-1.5360  | Resistance 1.5600-1.5650-1.5710

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