FX forecast for Mar. 10

The euro might drop even lower, hitting in the foreseeable future levels around $1.32; at the same time, the Moldovan leu seems to follow an upward course, Financial Brains director PhD Sveatoslav Mihalache has told Info-Prim Neo. [EUR/USD:] Traders kept an eye yesterday on Greek PM George Papandreou, who crossed the Atlantic in a bid to find solutions to the budget woes troubling his country. Like a true politician, Papandreou laid the blame on “unprincipled” speculators, excusing the government. Another piece of bad news for the euro, says Sveatoslav Mihalache, is the possibility that Fitch could lower Portugal’s credit rating, which would push Europe towards even greater problems. One solution could be the establishment of a monetary fund of European level, a recently launched idea, but this solution is far from being immediate. Currently the euro trades around $1.3595. {Support levels:} The closest support level is situated at $1.3530, followed by the “brave” level of $1.3420/40, which has resisted to multiple earlier attacks. Yet in the light of the recent developments, this level seems so solid anymore and it is possible that, once it’s broken, the euro could reach the $1.3260 mark. {Resistance levels:} $1.3670/80; $1.3730; $1.3840. [USD/MDL:] Yesterday the dollar traded on the interbank market at 12.65 lei. It’s thus likely that the leu will slightly appreciate against the dollar and the euro, consequently. Today, the currency exchange facilities will by dollars at around 12.55 lei and sell at 12.67 – 12.70 lei. [EUR/MDL:] 17.05 – 17.08 lei (bid) and 17.16 – 17.21 lei (ask). For further details visit www.fb.md or www.financialbrains.eu