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  • Euro drops across the board during the US session, hits fresh lows vs. GBP, CHF.  
  • EUR/USD falls toward 1.1300 and remains under pressure.  

The EUR/USD pair dropped further during the US session and reached a fresh 2-day low at 1.1308. It is trading at 1.1315/20, under pressure and in negative territory for the week.  

The euro came under pressure late on Friday and also hit new lows against the pound, the yen, and the Swiss franc. The greenback gained momentum, with the DXY rising back above 97.00 after it received support from the Chicago PMI that came in above expectations at 66.4, the highest level in 11 months. Now, investors await headlines from the G20 summit taking place in Argentina.  

Today’s slide in EUR/USD pushed the price below last week close, and now it heads toward the weakest weekly close since June 2017.  

EUR/USD Technical outlook and levels to watch  

“A lower low and a lower high when compared to the previous week leans the scale to the downside. The pair held above the 200 SMA, but the 20 SMA extended its downward momentum, crossing below the 100 SMA some 250 pips above the current level”, said Valeria Bednarik, Chief Analyst at FXStreet. She noted that the Momentum extended its retracement after failing to overcome its mid-line falling further into negative ground, while the RSI consolidates around 37, “all of which leans the risk to the downside.”

The pair is barely holding above the 61.8% retracement of the 1.1215/1.1472 rally, the immediate support at 1.1310, explained Bednarik. “Below it, the next support comes at 1.1215, the yearly low, followed by the 1.1160 price zone. Above 1.1400, the next resistance is 1.1460 a strong static level, ahead of the 1.1500 figure.”