EUR/USD tumbles to 1.1130 on USD-buying

EUR/USD plummets to 1.1130, fresh weekly lows.
The dollar regains traction on risk-off environment.
ECB’s Lagarde said COVID-19 will have a considerable impact on economy.

Pablo Piovano FXStreet

EUR/USD has now accelerated the downside and is navigating the area of weekly lows in the mid-1.1100s losing around 1% at the time of writing.

EUR/USD weaker on USD-strength

EUR/USD is losing further ground in the second half of the week and navigates fresh multi-day lows in the 1.1150 region in response to the sudden pick-up in the demand for the greenback, which is regaining momentum vs. all its main rivals.

The pair has quickly left behind the key support at 1.1200 the figure and extended the drop to the 1.1130 region, trading at shouting distrance from the critical 200-day SMA just above the 1.1100 mark.

Earlier in the session, the ECB left the policy rates unchanged in spite of the recent interest rate cuts by its peers, namely the Fed, the BoE, the RBA and the BoC.

EUR/USD levels to watch

At the moment, the pair is losing 0.41% at 1.1223 and faces the next support at 1.1197 (weekly low Mar.12) followed by 1.1186 (61.8% Fibo of the 2017-2018 rally) and finally 1.1101 (200-day SMA). On the flip side, a break above 1.1495 (2020 high Mar.9) would target 1.1514 (high Jan.31 2019) en route to 1.1569 (2019 high Jan.10).

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.

EUR/USD stays below 1.1850 after dismal German sentiment data

EUR/USD stays in negative territory below 1.1850 in the second half of the day on Tuesday. Renewed US Dollar strength, combined with a softer risk tone keep the pair undermined alongside downbeat German ZEW sentiment readings for February.

GBP/USD falls toward 1.3550, pressured by weak UK jobs report

GBP/USD remains under bearish pressure and extends its decline below 1.3600 on Tuesday. The United Kingdom employment data suggested worsening labor market conditions, bolstering bets for a BoE interest rate cut next month and making it difficult for Pound Sterling to stay resilient against its peers.

Gold recovers modestly, stays deep in red below $4,950

Gold (XAU/USD) stages a rebound but remains deep in negative territory below $4,950 after touching its weakest level in over a week near $4,850 earlier in the day. Renewed US Dollar strength makes it difficult for XAU/USD to gather recovery momentum despite the risk-averse market atmosphere.

Crypto Today: Bitcoin, Ethereum, XRP upside looks limited amid deteriorating retail demand

The cryptocurrency market extends weakness with major coins including Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) trading in sideways price action at the time of writing on Tuesday.

UK jobs market weakens, bolstering rate cut hopes

In the UK, the latest jobs report made for difficult reading. Nonetheless, this represents yet another reminder for the Bank of England that they need to act swiftly given the collapse in inflation expected over the coming months.

Stellar mixed sentiment caps recovery

Stellar price remains under pressure, trading at $0.170 on Tuesday after failing to close above the key resistance on Sunday. The derivatives metric supports the bearish sentiment, with XLM’s short bets rising among traders and funding rates turning negative.