EUR/USD on the verge of breaking below 1.1700
The low so far touches 1.1702. Do note that there are barriers sitting at the 1.1700 figure level, but given the risk-off move we're seeing in the market it doesn't look like it's going to hold up for too long.
The dollar and the yen are the two top gainers in the market, but the euro is being battered on the back of the weak PMI figures from France and Germany earlier. The figures basically confirms that the soft patch in Q1 looks to be extending into Q2 - and that is starting to throw the ECB's plans to normalise monetary policy out the window.
Right now, EUR/USD is testing the 38.2 retracement level @ 1.1709 and a break below would open up a further nosedive towards 1.1550 levels which is where the November low was posted.
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