EUR/USD Forecast: Euro could struggle to hold above 1.0800 on weak growth figures

• EUR/USD trades slightly above 1.0800 following Monday’s decline.
• Near-term technical outlook suggests that the bearish bias remains intact.
• Disappointing growth figures from Germany and Euro area could further weigh on the Euro.

EUR/USD started the week on the back foot and touched its lowest level since mid-December below 1.0800 in the early American session on Monday. Although the pair manages to hold above this level in the European morning on Tuesday, it risks losing it in case European data disappoint.

Mixed comments from European Central Bank (ECB) officials weighed on the Euro on Monday. ECB Vice President Luis de Guindos said inflation risks were tilted to the downside and ECB policymaker Mario Centeno argued that the central bank should start cutting rate sooner than later, while avoiding abrupt moves. On a hawkish note, Governing Council member Peter Kazimir said that a rate cut in June is more probable than April but the exact timing is secondary to the decision’s impact.