Below 1.0960, the pair could test 1.0900

  • EUR/USD fades Tuesday’s gains and refocuses on the downside.
  • A drop to 1.0900 looks increasingly likely near term.

EUR/USD flirts with the weekly low around 1.0900 amidst the offered stance in the risk complex.

Extra weakness is expected to meet the next support at the weekly low at 1.0960 (March 22), while a breach of it should expose a potential retracement to another weekly low at 1.0900 (March 14).

The medium-term negative outlook for EUR/USD is expected to remain unchanged while below the key 200-day SMA, today at 1.1514.

EUR/USD daily chart