EUR/USD tumbles to fresh 2018 lows near 1.1880

The pair is gathering further downside traction below the 1.1900 handle.
US Dollar Index breaks above the 93.00 barrier, 2018 highs.
All eyes on Trump’s decision on Iran nuclear deal.

Pablo Piovano FXStreet

The rally in the greenback is now picking up extra steam and is forcing EUR/USD to record fresh yearly lows in the vicinity of 1.1880.

EUR/USD weaker, looks to Trump

The selling pressure around the single currency is accelerating on Tuesday following the recent breakout of key up barriers by the US Dollar Index.

In fact, the buck moved higher today, surpassing the 93.00 milestone and dragging lower the pair and the rest of the USD-denominated complex.

Absent important releases in Euroland today, the pair’s price action should hinge on USD-dynamics and speculations over Trump’s decision over the Iranian nuclear deal, expected later during the European evening.

EUR/USD levels to watch

At the moment, the pair is losing 0.29% at 1.1889 and a break below 1.1883 (2018 low May 8) would open the door to 1.1800 (psychological level) and finally 1.1718 (monthly low Dec.12 2017). On the other hand, the next upside barrier aligns at 1.2019 (200-day sma) seconded 1.2021 (10-day sma) and finally 1.2153 (low Mar.1).

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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