EUR/USD tumbles to 2-month low

24 October, 2018

The shared currency comes under further selling pressure on Wednesday. Spot comes down and tests fresh lows in the boundaries of 1.1400. EMU, German flash PMIs came in below expectations in October.

The selling pressure is now gathering further steam around the single currency, dragging EUR/USD to fresh 2-month lows in the 1.1400 neighbourhood.

EUR/USD vulnerable on Italy, data

The pair is down for the second week in a row so far today, tumbling to fresh lows and challenging at the same time the critical 1.1400 handle, levels last seen in mid/late-August.

Italy remains the exclusive source of the ongoing and intensified selling mood around the pair, particularly after the EU rejected on Tuesday the proposed 2019 draft budget, sparking further accusations between the parties.

In addition, advanced manufacturing PMIs for the current month in Germany and the euro bloc are seen below expectations, also collaborating with the sour sentiment around EUR.

Still in the euro docket, ECB’s Private Sector Loans expanded at an annualized 3.1% and M3 Money Supply expanded 3.5% on a year to September.

In the US data space, September’s New Home Sales and flash manufacturing and services PMIs for the month of October are next on tap ahead of the weekly report on US crude oil supplies by the DoE.

At the moment, the pair is losing 0.59% at 1.1405 and a break below 1.1402 (low Oct.24) would target 1.1319 (200-week SMA) en route to 1.1299 (2018 low Aug.15). On the upside, the next resistance emerges at 1.1508 (low May 29) seconded by 1.1550 (high Oct.22) and then 1.1574 (55-day SMA).

Source   Presented by OctaFX
Euro declines on the back of risk aversion30 Jun, 2020  

On Monday the 29th of June, trading on the euro closed up. The EURUSD pair rose by 0.22% to reach 1.1241. Trading on the US stock market closed up...

EURUSD holding steady below the balance line25 Jun, 2020  

Considering that our pair has dropped from 1.1349 to 1.1236 without any pullbacks, the current momentum should be enough to take it to the 112th degree...

EURUSD: bulls planning to test 1.130023 Jun, 2020  

On Monday the 22nd of June, trading on the euro closed up. The single currency rose to 1.1270 against the dollar. Investors seemed to have forgotten about...

Euro struggles against Dollar; Gold wobbles18 Jun, 2020  

The Euro remains trapped in a fierce battle against an unyielding Dollar with prices trading marginally below 1.1250 as of writing...

EURUSD: continued flat to around 1.130010 Jun, 2020  

The EURUSD pair was held up by the yen, which rose by 1.04% to reach 108.43 against the dollar. The yen is considered a safe haven asset, so investors...

EURUSD: markets await Lagarde speech5 Jun, 2020  

Trader attention is turned towards the ECB meeting and the following press conference with Christine Lagarde. Interest rates are expected to be maintained...

EURUSD: continued growth expected21 May, 2020  

The promising results of COVID-19 vaccine trials have reduced demand for the safe haven assets. The majors are trading up against the dollar...

EURUSD: expected rebound from the lower line14 May, 2020  

The pair rose to the balance line as expected. At the time of writing, the euro is trading at 1.0807. The majors are currently trading down...

Bulls trying to strengthen the upwards impulse11 May, 2020  

Before the recovery, we got a double bullish divergence model. This should see a bounce to 1.0926. If we assume that we're going to get a flat, then this is the model...