Further EUR/USD weakness – UBS on the downside levels to watch as triggers

Cutting to the chase, UBS say the next technical levels below to watch for breaking are:

• 1.0670
• 1.0645
• 1.0600

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This time last week EUR/USD had gapped down to open the new week on the political news out of France. As wrapped up here:

• ForexLive Asia-Pacific FX news wrap: EUR lower on EU politics

While the (politics) gap did get filled in later in the week we are lower now, sitting just above 1.0700 in (very) early Asia time.

UBS on the EUR:

• lower, driven by European politics and market risk sentiment
• most of the action is in EUR crosses not in EURUSD … EURCHF and EURJPY downside as is normal in a risk off environment

I stuck an arrow there to the wee gap this time last week.

1.0670 ish was the low Friday, for those other two levels UBS nominate, check out the daily chart.

This article was written by Eamonn Sheridan at www.forexlive.com.