Societe Generale analysts set downside objectives for EUR/HUF at 352-350 amid sustained forint gains and weak rebound signals.
EUR/HUF fell below 360 for the first time in four years, driven by stronger-than-expected Hungarian economic data. Industrial production rose 3.7% year-over-year in March, defying expectations of a decline, while retail sales surged 8.2% year-over-year.
The pair broke below its 200-day moving average in March and April’s low, extending a steep downtrend. Analysts note the MACD remains deeply negative, with no rebound signals yet, while interim resistance is seen at 368.
Hungary’s inflation rose to 2.1% in April from 1.8% in March, adding pressure. Fiscal concerns persist as new budget projections suggest a 6.8% of GDP deficit this year, well above the 3.9% official target.