EURUSD testing its intraday high after worse than consensus eurozone GDP data

In the first three months of 2023, the Gross Domestic Product (GDP), adjusted for seasonal variations, experienced a slight decrease of 0.1% in the eurozone while registering a marginal increase of 0.1% within the European Union (EU), as stated by Eurostat, the EU’s statistical authority. During the final quarter of 2022, both regions observed a GDP contraction with the euro area and the EU seeing decreases of 0.1% and 0.2%, respectively. However, when compared to the same quarter in the previous year, the seasonally adjusted GDP witnessed a 1.0% rise in both the eurozone and the EU during the initial quarter of 2023. This is slightly lower growth than the previous quarter, which saw increases of 1.8% in the eurozone and 1.7% within the EU.

EURUSD up 0.31% at the time of writing, testing the 61.8% Fibonacci resistance, which originally was a support of the uptrend from March to May 2023. Above 1.0738 the next test would be area 1.08 and 1.087 while in case of bearish pressure a retracement below last month low of 1.0634 does not exclude a retest of its March lows near 1.05.