Forex: EUR/HUF tanking on NBH measures

FXstreet.com (Barcelona) - The Hungarian forint is printing fresh 4-week lows against the single currency after the NBH Governor, G.Matolczy, finally unveiled a plan to increase lending and promote economic growth in Hungary. Matolczy’s plan reminds the BoE’s FLS, as the 3-month programme is directed to facilitate credit to small companies through loans to retails banks worth HUF 250 billion. Among other measures, he informed that the programme could boost growth by 0.7%.

Data-wise, February’s Retail Sales in Hungary contracted 1.4% over the last twelve months, bettering January’s contraction of 2.6%.

At the moment, the cross is losing 0.62% at 300.61 with the next support located at 300.21 (low Apr.3) ahead of 294.10 (low Mar.1) and finally 292.70 (MA100d).
On the upside, a break above 304.40 (MA10d) would bring 308.55 (high Mar.18) and then 313.48 (high Jan.13 2012).