EUR/USD rallies to 7-week high

FXStreet (Córdoba) - The EUR/USD accelerated higher and rose above the 1.3900 mark at the beginning of the European session as better-than-expected Spanish data acted as catalyst to unleash a bullish leg.

Strong Spanish data lifts the euro

The EUR/USD triggered stops on the break of the 1.3890 resistance area and rallied to a fresh 7-week high of 1.3914 after data showed Spain's unemployment declined by 111,565 in April, exceeding the -49,100 expected, while the country's services PMI reached a 7-year high of 56.5 (versus 54.4 forecast), signaling expansion in the sector.

EUR/USD levels to watch

The EUR/USD is currently trading at the 1.3910 zone, recording a 0.26% gain on the day, with immediate resistances seen at 1.3947 (Mar 17 high) and 1.3965 (Mar 13 high), while on the other hand, supports could be found at 1.3871 (May 6 low), 1.3852 (10-day SMA) and 1.3815 (50-day SMA).

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