The euro currency has fallen sharply lower against the greenback, hitting 1.1980, after the U.S dollar index strengthened broadly on the first trading day of May. The EURUSD pair currently trades around the 1.2000 level, with traders now turning their attention to further losses below the pair’s 200-day moving average, at 1.2010. Investors now look towards a raft of key eurozone economic data this morning, with PMI Manufacturing and the official EU Unemployment rate headlining.
The EURUSD pair is strongly bearish while trading below the 1.2054 level, further losses towards 1.1980 and 1.1955 appear likely.
If the EURUSD pair starts to trade back above the 1.2054 resistance level, a technical correction back towards the 1.2100 and 1.2138 levels may occur.
