EUR/USD drops to 1.1160, takes out 50-DMA support

FXStreet (Mumbai) – The common currency is being offered in the early European session, taking the EUR/USD pair to a session low of 1.1160.

Trades below 50-DMA

Fresh offers came-in once the pair breached 50-DMA located at 1.1190. The currency pair begun its southward journey in the Asian session after having filled the gap down opening seen on New Zealand Monday morning).

There is also a talk of offers fro hedge fund, which dragged the EUR/USD pair to a low of 1.1160. The common currency is falling after Greece announced that it shall default on the IMF loan repayment due today. Attention remains on Greece related news flow and EU data – German unemployment and EU CPI.

EUR/USD Technical Levels

The immediate resistance is seen at 1.1190 (50-DMA), followed by another major hurdle at 1.1293 (23.6% Fib R of 1.3991-1.0461). On the other hand, a break below 1.1130 (June 26 low), under which the pair could drop to 1.1050 (May 26 high).

The common currency is being offered in the early European session, taking the EUR/USD pair to a session low of 1.1160.

(Market News Provided by FXstreet)