EUR/USD records new YTD lows around 1.1250, rebounds afterwards
|- EUR/USD dropped to new 16-month lows around 1.1250.
- The greenback briefly tested the boundaries of 2021 highs.
- ECB’s Lagarde said there is no rush to tighten monpol.
Sellers keeps the European currency under pressure and forces EUR/USD to recede to fresh 16-month lows in the 1.1250 region on Friday.
EUR/USD weaker on risk-off sentiment
EUR/USD remains depressed on the back of persevering buying pressure in the greenback and the prevailing risk-off mood among market participants.
Indeed, renewed demand for the buck prompted the US Dollar Index to reverse the recent weakness and challenge once again the area of 2021 highs near 96.20 despite the corrective downside in US yields.
Earlier in the session, Chairwoman C.Lagarde suggested that there is no rush to prematurely tighten the current monetary conditions.
EUR/USD levels to watch
So far, spot is losing 0.73% at 1.1288 and faces the next up barrier at 1.1422 (10-day SMA) followed by 1.1464 (weekly high Nov.15) and finally 1.1509 (20-day SMA). On the other hand, a break below 1.1250 (2021 low Nov.17) would target 1.1185 (monthly low Jul.1 2020) en route to 1.1168 (low Jun.19 2020).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.