- EUR/USD logged its biggest single-day loss in two weeks on Friday.
- The pair risks extending losses to key trendline support.
- With US markets closed, the pair may witness some moves on German PPI data.
EUR/USD is looking weak, having registered its biggest single-day decline in over two weeks on Friday.
The pair fell 0.43%, its biggest single-day loss since Jan. 2, signaling an end of the minor bounce from the Jan. 10 low of 1.1085 and a resumption of the sell-off from the Dec. 31 high of 1.1239.
The single currency, therefore, risks falling to the support at 1.1063 – the support of the trendline connecting lows seen on Oct, 1 and Nov. 29.
The drop to key support, however, may not happen if the German Producer Price Index (PPI), due at 07:00 GMT, betters estimates.
Indeed, the PPI has rarely moved markets in the past. However, with the US closed on account of Martin Luther King's birthday, trading volumes are likely to be weak. The pair, therefore, could witness erratic moves on PPI figures.
The German Bundesbank's monthly report is also scheduled for release on Monday and could influence the pair. At press time, EUR/USD is trading near 1.1095.
Technical levels
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
GBP/USD clings to recovery gains above 1.2650 after UK data
GBP/USD clings to recovery gains above 1.2650 in European trading on Friday. The mixed UK GDP and industrial data fail to deter Pound Sterling buyers as the US Dollar takes a breather ahead of Retail Sales and Fedspeak.
EUR/USD rises to near 1.0550 after rebounding from yearly lows
EUR/USD rebounds to near 1.0550 in the European session on Friday, snapping its five-day losing streak. The renewed upside is mainly lined to a oause in the US Dollar rally, as traders look to the topt-tier US Retail Sales data for a fresh boost. ECB- and Fedspeak also eyed.
Gold defends key $2,545 support; what’s next?
Gold price is looking to build on the previous rebound early Friday in search of a fresh impetus amid persistent US Dollar buying and mixed activity data from China.
Bitcoin to 100k or pullback to 78k?
Bitcoin and Ethereum showed a modest recovery on Friday following Thursday's downturn, yet momentum indicators suggest continuing the decline as signs of bull exhaustion emerge. Ripple is approaching a key resistance level, with a potential rejection likely leading to a decline ahead.
Trump vs CPI
US CPI for October was exactly in line with expectations. The headline rate of CPI rose to 2.6% YoY from 2.4% YoY in September. The core rate remained steady at 3.3%. The detail of the report shows that the shelter index rose by 0.4% on the month, which accounted for 50% of the increase in all items on a monthly basis.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.