EURUSD Extends Losses: Is Parity in Sight?

The EURUSD pair has continued its downward trajectory, breaking below the significant 1.1068 support level and reaching a low of 1.1032. This move indicates that the bearish pressure on the euro against the dollar remains strong.

As the pair pushes lower, traders are now eyeing the psychologically important 1.1000 level as the next potential target. This round number could provide some support and might be a key battleground for bulls and bears in the coming days.

However, it’s crucial to keep an eye on potential resistance levels in case of a rebound. The initial resistance to watch is at 1.1055. If the pair manages to break above this level, it could pave the way for a test of the 1.1085 area.

A move above 1.1085 would be significant, as it could signal that the downside move from the recent high of 1.1213 has run its course. In this scenario, traders might see the pair attempt to revisit the 1.1213 level.

As the EURUSD continues to navigate these choppy waters, market participants will be closely monitoring how it reacts to these key levels. The price action in the coming sessions will provide valuable insights into whether the current downtrend will persist, potentially pushing towards parity, or if we’ll see a reversal back towards recent highs.