EUR/USD slips under 1.1800 on strong PMI data, Fed bets boost Dollar

💡 DMK Insight

The EUR/USD’s 0.49% drop signals a shift in market sentiment, driven by strong US data and Fed leadership changes. Traders should note that the recent metals rout has bolstered the Greenback, creating a challenging environment for the Euro. With Kevin Warsh’s nomination to lead the Fed, expectations for tighter monetary policy could further strengthen the dollar. This dynamic is crucial for day traders and swing traders, as the pair’s movement could lead to increased volatility. Watch for key support levels around the recent lows; a break below could trigger further selling pressure. Conversely, if the Euro manages to hold above these levels, it might present a buying opportunity for those looking to capitalize on potential reversals. Keep an eye on upcoming economic releases from both the US and Eurozone, as they could provide additional catalysts for movement. The next few days will be critical in determining whether the EUR/USD can regain its footing or if the dollar will continue to dominate.