The latest on the European front is that Spain may request a bailout in November, according to a Reuters report over the weekend.
The pair has traded down to an intraday low of 1.2910 as it sheds Friday’s gains, stalling just ahead of support at the 21-day EMA (1.2900).
According to Valeria Bednarik, Chief Analyst at FXstreet.com, “failure to extend above mentioned resistance [past Friday at 1.2990], should lead to a retest of the 1.2900/10 support area, while buying interest will surge if price manages to reach 1.2875 price zone,” the analyst explains in a research note.
If EUR/USD breaks below the 1.29 mark, support is noted at 1.2860 (200-day EMA), then 1.2825 (Oct 11 low). To the upside, immediate resistance is noted at 1.2935 (Oct 8 low).