EUR/USD drops to one-week lows, holds below critical 1.1150/60 area

The EUR/USD pair dropped below 1.1160 and bottomed at 1.1136, the lowest level since August 5. The combination of a stronger US Dollar across the boar  |  14/08/2019 17:04
  • Euro under pressure amid growth concerns and also technical factors. 
  • EUR/USD head for the lowest close since August 2, back below the 20-day SMA. 

The EUR/USD pair dropped below 1.1160 and bottomed at 1.1136, the lowest level since August 5. The combination of a stronger US Dollar across the board and a weaker Euro contributed to the slide of EUR/USD under a critical support level. 

The US Dollar is up today across the board and particularity against commodity and emerging market currencies amid fears about the global economic outlook. Concerns increased amid recessions fears in the US and Europe. The common currency is also down versus the Pound and the Swiss franc weakened by EZ data and lower yields. 

The greenback is up even despite lower US yield. The 10-year stands at 1.58%, the lowest since 2016. In Wall Street, the DOW JONES is losing 2.35% and the NASDAQ drops 2.69%. The DXY gains 0.12% and trades near 98.00, at fresh one-week highs. 

Looking at 1.1100? 

From a technical perspective, the recent move in EUR/USD adds to the negative perspective of the Euro. The pair is holding below 1.1150/60, the lower limit of the one-week range. A confirmation of the breakout would signal more losses ahead. The next support is seen at 1.1110 that protects 1.1100. 

On the upside, the Euro needs to rise back above 1.1160 to alleviate the short-term bearish pressure. If that happens it would likely resume range trading between 1.1150 and 1.1245. 

 

Share

Popular News

Show More Popular News

Market Insight's Views

Market Insight analyses will provide both fundamental and technical comprehensions on FX
and other asset classes for Market Insight viewers

RISK WARNING

The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.

If such information is acted upon by you then this should be solely at your discretion and GKFX will not be held accountable in any way.

  • ForexF
  • IndicesI
  • CommoditiesC
        Back

        Login to Market Insight Account

        Your Market Insight account gives you access to the tools that we offer our customers including our
        Technical Studies & Sentiment for your accounts.

        Forgot Password?

        Don't you have a Market Insight account? With a few easy steps you can easily register to Market Insight

        Create a Market Insight's Account

        Your Market Insight account gives you access to the tools that we offer our customers including our Technical Studies & Sentiment for your accounts.

        register_ty

        Thank you!

        Welcome to Market Insight family!

        You have succesfully completed the registration.
        We will send you an e-mail to give you some
        instructions and our Terms and Conditions!
        Our account representatives will be contacting you as
        soon as possible. If you have any further questions
        please do not hesitate to mail us via info@marketinsight.com