EURUSD: This pair slid to 1.09 after testing 1.0950 on bad German retail sales data for January. We are well below moving averages and oscillators do not yet show that we are oversold. Technicals are pointing towards the downside, however, there are very few expectations of the immediate breakthrough due to several reasons – it’s the end of the month, equities are in the red due to a weak Chinese market and poor oil market performance. The expected magnitude is low, the next support should be in the 1.0850 zone. The European Central Bank’s Jens Weidman and Francois Villeroy commented at the weekend that: It would be dangerous to further expand already highly accommodative monetary policy and that deflation was the key risk facing the Eurozone. The ECB could act due to low inflation. Temporarily low oil prices are not a sufficient reason but could be if they start to feed into long-term effects. That didn’t add any confidence to the EUR buyers.