Euro area and EU27 GDP down by 0.3%

+0.7% and +0.9% respectively compared with the fourth quarter of 2010

GDP decreased by 0.3% in both the euro area1(EA17) and the EU271 during the fourth quarter of 2011, compared with the previous quarter, according to second estimates released by  Eurostat, the statistical office of the European Union. In the third quarter of 2011, growth rates were +0.1% in the euro area and +0.3% in the EU27.Compared with the fourth quarter of 2010, seasonally adjusted GDP rose by 0.7% in the euro area and by 0.9% in the EU27, after +1.3% and +1.4% respectively in the previous quarter.

Variation in components of GDP 

During the fourth quarter of 2011, household2 final consumption expenditure decreased by 0.4% in the euro areaand by 0.2% in the  EU27  (after +0.3% and +0.2% respectively in the previous quarter). Gross fixed capital formation fell by 0.7% in both zones (after -0.3% in both zones). Exports dropped by 0.4% in the euro area and by 0.1% in the EU27 (after +1.4% and +1.3%). Imports decreased by 1.2% in the euro area and by 0.8% in the EU27(after +0.7% in both zones).

US and Japanese GDP 

In the United States GDP increased by 0.7% during the fourth quarter of 2011, after +0.5% in the third quarter of 2011. In Japan GDP dropped by 0.6% in the fourth quarter of 2011, after +1.7% in the previous quarter. Compared with the fourth quarter of 2010, GDP gained 1.6% in the United States (after +1.5% in the previous quarter) and fell by 1.0% in Japan (after -0.6%). GDP increased by 1.4% in the euro area and by 1.5% in the EU27 in 2011 Over the whole year 2011, GDP increased by 1.4% in the euro area and by 1.5% in the EU27, compared with +1.9% and +2.0% respectively in 2010. Over the whole year 2011, GDP increased by 1.7% in the United States (+3.0% in 2010) and contracted by 0.9% in Japan (+4.4% in 2010)

EUR/USD Intraday Technical Levels for March 6, 2012

TODAY's  TECHNICAL  LEVEL :

Breakout BUY Level : 1.3285.

Strong Resistance : 1.3277.

Original Resistance : 1.3265.

Inner Sell Area : 1.3252.

Target Inner Area : 1.3221.

Inner Buy Area : 1.3189.

Original Support : 1.3177.

Strong Support : 1.3164.

Breakout SELL Level : 1.3156.

Today the EUR/USD pair has support and resistance levels in the points 1.3177 and 1.3265. The point  1.3164 is considered as strong support level and 1.3277 as strong resistance level.

If  the EUR/USD pair breaks out and closes below the 1.3156 level today, the bearish tendency will strenghten. At the same time if the EUR/USD pair is managed to pass through and close abovethe 1.3285 level, the signal for the bullish movement will be provided. Alternatively, it is possible to make BUY-deals at the level 1.3189 and SELL-deals at the 1.3252 level. In this case both targets should be located at the level of 1.3221.

6 March 2012 Daily Forecast

EUR/USD
Trading range: 1.3220 - 1.3120
Trend: Downward
Sell at 1.3209 SL 1.3241 TP 1.3132

USD/JPY
Trading range: 81.60 - 80.70
Trend: Downward
Sell at 81.49 SL 81.81 TP 80.77

GBP/USD
Trading range: 1.5875 - 1.5760
Trend: Downward
Sell at 1.5861 SL 1.5893 TP 1.5773

USD/CHF
Trading range: 0.9115 - 0.9225
Trend: Upward
Buy at 0.9127 SL 0.9095 TP 0.9211


Today's Economic Calendar:
Time GMT, Country, Indicator, Forecast, Prior

04:30 Australia RBA meeting announcement 4.25% 4.25%
10:00 EU17 GDP Q4 revised -0.3% -0.3%
10:00 EU17 GDP Q4 revised Y/Y 0.7% 0.7%
13:55 USA Redbook 03.03