The euro fell to a two-week low on Wednesday. This came after the US new home sales report came out stronger than expected.
Purchase of newly built homes rose 7.1% on a seasonally adjusted basis in August from the month before. The euro weakened amid recent reports showing that the slowdown in Germany could be longer than expected.
Can the EUR/USD Rebound Off the Support?
The currency pair is approaching the support level of 1.0944 – 1.0925. The support level is likely to hold in the near term. This comes as the support area has managed to hold the declines on three previous occasions. In the short term, unless the common currency rebounds to the upside, there is potential for the EURUSD to consolidate near the current levels.
