EUR/USD (current price: 1.0871)
The common currency hit yet another 3-month low against the Dollar on Friday, closing below 1.09, after trading in a neutral short-term range since the Brexit vote in June. Traders continue to focus on the monetary policies of the major central banks, and the European Central Bank hasn’t given any sign of raising rates this year, while the Federal Reserve is expected to tighten in November. Long-term support is found near 1.05 while resistance is ahead near 1.1085
Our assessment: EUR/USD is now trading below the flat 200-day MA, which is found near 1.1150, as the European economies are threatened by the Brexit and financial worries.
