- EUR/USD is reaching the 1.1600 figure as the USD is having a boost across the board.
- Analysts attribute the sell-off to disappointing Consumer Price Index (CPI) in the Eurozone, NAFTA headlines and end of month flows.
EUR/USD is down 0.65% this Friday as the currency pair is now trading near the 1.1600 level.
EUR/USD failed to break above 1.1750 and broke below a bullish trendline giving the opportunity for bulls to take profits and for bears to initiate new shorts. Friday started with worse-than-expected numbers in the Eurozone with CPI coming slightly below expectation at 1% versus 1.1% for the core reading y/y and 2% vs. 2.1% y/y to August.
Later in the day, news that a NAFTA deal was not going to be reached today bolstered the USD across the board. Adding to this month-end flows which usually favors the Greenback, today was the perfect storm for being short EUR/USD.
EUR/USD 4-hour chart
On a technical basis EUR/USD remains bearish below 1.1750. The market broke below the bull trendline and the next significant bear target is located at 1.1530 swing low.
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