EUR/HUF flirting with highs near 315.00

FXStreet (Edinburgh) - The Hungarian forint is trading on a softer tone vs. the single currency on Friday, allowing EUR/HUF to climb to daily tops near 315.00 the figure.

EUR/HUF stronger post-NBH decision

The cross is advancing for the fourth consecutive session so far, extending at the same time the broader rebound from recent multi-week lows in sub-310.00 levels recorded last week.

The forint has seen its decline intensified following yesterday’s decision by the Hungarian central bank (NBH) to lower by 25 bp both the depo rate and the lending rate, which market participants have perceived as some sort of easing. The announcement follows Tuesday’s decision to leave the key policy rate – the base rate - unchanged at 1.35%.

EUR/HUF relevant levels

At the moment the cross is up 0.21% at 314.70 facing the next hurdle at 315.61 (high Sep.24) followed by 316.20 (high Sep.11) and finally 317.03 (high Aug.27). On the flip side, a breach of 313.16 (low Sep.25) would aim for 31.77 (low Sep.24) and then 309.67 (low Sep.23).