Investors Eye Euro’s Nearing 1.0900 Amid Stronger US Dollar Influences

  • EUR/USD Downtrend: The EUR/USD pair is witnessing a decline, registering a new one-week low near 1.0930, extending its previous week's deviation from a support-turned-resistance trendline originating from late May.
  • Key Factors Affecting the Decline: Several dynamics are influencing the Euro's descent against the US Dollar. These include negative MACD indicators, heightened market caution, and the robust performance of US Treasury bond yields. For further downward movement, a daily close below the 100-DMA support at 1.0930 is pivotal.
  • Potential Future Movements: On the downside, barriers include the 61.8% Fibonacci retracement and the previous month's lowest point. On the bullish side, a close above the upward trend from July 06 could challenge the 1.1040 support line, with further targets being 1.1065, 1.1100, and potentially 1.1275.

As global financial landscapes shift, the EUR/USD is on a two-day downtrend, registering a new one-week low near 1.0930 early on Monday in Europe. South African investors, with significant interests in international markets and the Eurozone, are carefully observing this trend as it could have implications on trade and investment strategies.

The current state of the Euro shows a continuation of the previous week’s trend, wherein it deviated from a support-turned-resistance trendline that originated in late May. This deviation is now challenging both a crucial short-term support and the 100-Day Moving Average (DMA). Several factors are contributing to the Euro’s decline against the US Dollar, including negative MACD indicators, heightened market caution, and notably, the robustness of the US Treasury bond yields.

For the bears in the EUR/USD market to truly capitalize and target the monthly low of approximately 1.0910, they would require a daily close below the 100-DMA support, which is currently at 1.0930.

Other pivotal barriers on the downside include the 61.8% Fibonacci retracement from the May-July upward trajectory, positioned near the 1.0880 mark. Additionally, the previous month’s lowest point at approximately 1.0835 acts as a significant threshold.

Conversely, should there be a daily closure above the upward trending support line from July 06, we could see an attempt to breach the support line that held for several days, now around 1.1040.

Beyond this, Euro enthusiasts would then be eyeing the monthly high of roughly 1.1065 and the notable 1.1100 mark. A continued bullish momentum could even aim for the annual zenith achieved in July, which stands near 1.1275.

Given the intertwined nature of the South African economy with global markets, understanding these nuanced dynamics in the EUR/USD space is crucial for local businesses and investors who operate or invest internationally.

Visited 1 times, 1 visit(s) today

Stay ahead in the financial world – Sign Up to Rateweb’s essential newsletter for free. Get the latest insights on business trends, tech innovations, and market movements, directly to your inbox. Join our community of savvy readers and never miss an update that could impact your financial decisions.

Do you have a news tip for Rateweb reporters? Please email us at


Start trading with a free $30 bonus

Trade stocks, forex, commodities, metals and CFDs on stock indices with an internationally licensed and regulated broker. For all clients who open their first real account, XM offers a $30 trading bonus without any initial deposit needed. Learn more about how you can trade over 1000 instruments on the XM MT4 and MT5 platforms from your PC and Mac, or from a variety of mobile devices.


Personal Financial Tools

Below is a list of tools built to assist South Africans to make the best financial decisions:



South Africa’s primary source of financial tools and information

Contact Us


Rateweb strives to keep its information accurate and up to date. This information may be different than what you see when you visit a financial institution, service provider or specific product’s site. All financial products, shopping products and services are presented without warranty. When evaluating offers, please review the financial institution’s Terms and Conditions.

Rateweb is not a financial service provider and should in no way be seen as one. In compiling the articles for our website due caution was exercised in an attempt to gather information from reliable and accurate sources. The articles are of a general nature and do not purport to offer specialised and or personalised financial or investment advice. Neither the author, nor the publisher, will accept any responsibility for losses, omissions, errors, fortunes or misfortunes that may be suffered by any person that acts or refrains from acting as a result of these articles.