EUR/USD testing 1.1000

FXStreet (Edinburgh) – The single currency is sharply lower vs. the US dollar at the beginning of the week, taking EUR/USD to test the psychological handle at 1.1000 so far.

EUR/USD weaker on Greece

The failed attempts to clinch a dead between Greece and its EU creditors at the decisive Eurogroup meeting on Saturday and the subsequent rejection by Greek PM A.Tsipras of the EU’s proposals derailed in an awful scenario on Monday. Greek banks and stock exchange will be closed until July 6th while capital controls are imposed, capping ATM’s withdrawals to €60 per day.

PM A.Tsipras called a referendum on whether the country should accept the recent EU proposals, as the current bailout expires tomorrow and it seems unlikely that Greece could repay €1.6 billion to the IMF.

EUR/USD key levels

At the moment the pair is down 1.48% at 1.0994 with the next support at 1.0954 (low Jun.29) ahead of 1.0918 (low Jun.2) and finally 1.0900 (psychological level). On the other hand, a surpass of 1.1033 (high Jun.29) would expose 1.1219 (high Jun.26) and then 1.1283 (high Jun.23).

The single currency is sharply lower vs. the US dollar at the beginning of the week, taking EUR/USD to test the psychological handle at 1.1000 so far…

(Market News Provided by FXstreet)