- EUR/USD continued its decline on Monday, sliding back toward the 1.05 level.
- The pair struggled to regain the 1.0600 mark as the recent rebound lost momentum.
- Multiple ECB speeches are scheduled this week, while the U.S. Non-Farm Payroll (NFP) report on Friday remains a key focus.
EUR/USD began the week on a bearish note, retreating to near-term lows and falling back below the 1.0600 level, shedding nearly 0.8% on Monday. Stronger-than-expected US PMI data supported the safe-haven US Dollar, with November’s PMI climbing to 48.4 from 46.5, beating the forecast of 47.5. Despite this improvement, the index remains below the 50.0 threshold, signaling ongoing contraction and caution among business operators.
In Europe, economic data is sparse early in the week, though multiple ECB speeches are on the calendar. Market focus remains on Friday’s upcoming US Nonfarm Payrolls (NFP) report, with labor and wage data trickling in throughout the week, adding to the market’s cautious tone.
EUR/USD Price Outlook
EUR/USD remains under pressure near 1.0500 after failing to sustain its recent recovery. The pair managed only one green weekly candlestick after bouncing off multi-year lows around 1.0330. The technical outlook has deteriorated further with the 50-day EMA crossing below the 200-day EMA, confirming a bearish trend. The 50-day EMA is now descending toward 1.0700, while the 200-day EMA positions resistance near 1.0840, reinforcing a strong ceiling for any upward moves.
The bearish momentum is evident, with the pair struggling to find a solid foothold. Traders will be closely monitoring key data releases and ECB commentary for signs of a potential reversal or further downside risk.
EUR/USD daily chart
