EUR/USD breaks below 1.0600 for the first time in six-months

Euro hits fresh daily lows across the board.
ECB Lagarde speaks at the European Parliament
EUR/USD falls for the fifth consecutive day.

Matías Salord FXStreet

The EUR/USD dropped below 1.0600 for the first time since March. The pair bottomed at 1.0581, and remains under pressure on the back of a stronger US Dollar.

Greenback remains firm

The US Dollar is up across the board on Monday. The US Dollar Index (DXY) is trading slightly below 106.00, at the highest level since November of last year. The US 10-year Treasury yields reached a new high at 4.52%. Stock in Wall Street opened mixed.

European Central Bank (ECB) President Christine Lagarde is speaking at the Hearing of the Committee on Economic and Monetary Affairs of the European Parliament. She mentioned that the labor market is “finally adjusting”.

Regarding economic data, earlier on Monday, the German IFO survey slightly exceeded market consensus. The Current Assessment Index dropped from 89 to 88.7, while the Expectation Index rose from 82.6 to 82.9. In the US, the Chicago Fed National Activity Index declined to -0.16 in August from 0.07. The key reports of the week will be the inflation figures from the Eurozone and the US.

Levels to watch

The EUR/USD is holding below 1.0600, under pressure. The next support level is seen around the 1.0580 area, followed by 1.0550.

Despite falling for the fifth consecutive day, no signs of stabilization are observed. In the short term, a recovery above 1.0645 would improve the outlook for the Euro.

Technical levels

EUR/USD

Overview
Today last price	1.0602
Today Daily Change	-0.0046
Today Daily Change %	-0.43
Today daily open	1.0648

Trends
Daily SMA20	1.0738
Daily SMA50	1.0885
Daily SMA100	1.0877
Daily SMA200	1.083

Levels
Previous Daily High	1.0672
Previous Daily Low	1.0615
Previous Weekly High	1.0737
Previous Weekly Low	1.0615
Previous Monthly High	1.1065
Previous Monthly Low	1.0766
Daily Fibonacci 38.2%	1.0637
Daily Fibonacci 61.8%	1.065
Daily Pivot Point S1	1.0618
Daily Pivot Point S2	1.0588
Daily Pivot Point S3	1.0562
Daily Pivot Point R1	1.0675
Daily Pivot Point R2	1.0702
Daily Pivot Point R3	1.0731

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

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