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FXstreet.com (Barcelona) - The EUR/USD kept on rising across the chart during the European morning as investors priced in expectations ahead of the trade balance data in the Eurozone. The EMU Trade surplus widened from €10.2B to €13.7B in November, beating a pessimistic consensus that pointed to a drop to €10.0B. The seasonally adjusted figure rose from €7.4B to €11.0B. Meanwhile, the Spanish debt auction results are already out: yields of 1.687% (previously at 2.778%) for 18-month bills and 1.472% (previously at 2.556%) for 12-month bills. The pair rallied to 1.3388 session high, and is now taking profits post-release, currently ten pips lower.

The U-shaped price action drawn throughout the day has seen the EUR/USD failing at 1.3394 high, allowing a setback to 1.3340 support (low printed at 1.3333) before regaining strength with European flows, despite the disappointing Germany real GDP growth data. The figure fell from 3.0% to 0.7%, not even coming in at the expected 0.8%.

The Italian CPI inflation report eased from 2.5% to 2.3% in December, below the 2.4% consensus, with a monthly figure rising 0.2%, less than the expected 0.3%.

"Close above 1.3360, yesterday's opening price, keeps the upside in near-term focus, however, further consolidation cannot be ruled out, as 4h studies are extended", wrote Windsor Brokers analyst Slobodan Drvenica, pointing to support at 1.3335, followed by 1.3300 and 1.3247. "On the upside, clear break above 1.3400 is required to resume near-term bulls off 1.3000 base and open way towards 1.3485/1.3500, next targets", Drvenica added.

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