EUR/USD deflates to lows around 1.0780

The selling pressure around the single currency is now picking up pace, dragging EUR/USD to test fresh 3-day lows in the 1.0785/80 band.

EUR/USD weaker on USD-bids

The continuation of the rebound in the US Dollar is putting the pair under renewed downside pressure on Wednesday, shedding over a cent already since Monday’s fresh YTD tops just beyond 1.0900 the figure.

When tracked by the US Dollar Index, the buck stays on track to recover the psychological 100.00 handle so far today, advancing to daily highs near 99.80 after dropping to as low as the mid-98.00s in the wake of the ‘Trumpcare’ fiasco.

Solid results from the US docket yesterday saw US CB’s Consumer Confidence reaching highs last seen in December 2000, while Dallas Fed R.Kaplan (voter, hawkish) kept more rates ‘on the table’ as long as the economy accompanies.

Later in the NA session, UK’s PM Theresa May is expected to finally trigger Article 50, whereas Pending Home Sales will along with speeches by Chicago Fed C.Evans (voter, dovish), Boston Fed E.Rosengren (2019 voter, dovish) and San Francisco Fed J.Williams (2018 voter, centrist) are all due across the Atlantic.

EUR/USD levels to watch

At the moment the pair is losing 0.25% at 1.0787 facing the immediate support at 1.0759 (low Mar.24) ahead of 1.0704 (low Mar.16) and finally 1.0694 (20-day sma). On the flip side, a break above 1.0873 (high Mar.28) would target 1.0877 (200-day sma) en route to 1.0905 (high Mar.27).