EUR/USD falls to a low of 1.1526 on the day
That’s the lowest level the pair has traded since 21 August. Right now, price is testing support at 1.1530 – 23 August low – which is a level that has helped to stall declines last week.
The downwards move here is mainly triggered by a bit of a bid in the dollar as the session gets underway. Cable has also been dragged lower to 1.2897 before climbing back just above the 1.2900 handle. Meanwhile, USD/CAD is on the verge of testing 1.3200 once again.
The greenback has remained hot following the payrolls data on Friday in which wages was the main highlight as it beat expectations handily. And so far, that same mood is continuing into the new week.
As for EUR/USD, further support beyond this is seen at the 50.0 retracement level @ 1.1517 followed by support around 1.1500 and the swing region just under it at 1.1490. Beyond that, further support is only seen at the 61.8 retracement level @ 1.1466. Of note, there are large expiries rolling off today at 1.1500 so that may limit any downside move if the trend continues into the US session later.