EURUSD downtrend is looking weak

The bearish cross in the pair may be short-lived: Chart

EU (1)

The US Dollar was bearish against most of its major pairs on Monday with the exception of the NZD and JPY. On the US economic data front, no major economic data was released.

On Tuesday, the U.S. Trade deficit for August is expected to increase to 66.2 billion dollars on month, from 63.6 billion dollars in July. Finally, U.S. Job Openings for August are expected to release at 6.50 million jobs on month, compared to 6.62 million jobs in July.                      

The Euro was bullish against all of its major pairs. In Europe, research firm Markit has published final readings of September Services PMI for the Eurozone at 48.0 (vs 47.6 expected), for Germany at 50.6 (vs 49.1 expected), for France at 47.5 (as expected) and for the U.K. at 56.1 (vs 55.1 expected). The Eurozone's August retail sales rose +4.4% on month (vs +2.5% expected).

The Australian dollar was mixed against all of its major pairs. 

WTI Crude Oil jumped 2.3$ (+6.21%) to 39.35.

The largest gainer on the day was the EUR/USD which climbed 63 pips to 1.1779 in Monday's trading. A bearish cross remains in-play after the 20-day moving average crossed below the 50-day moving average however bearish momentum has failed to materialize. A break above the 50-day moving average near 1.181 would be a strong bullish signal. A break below 1.1605 support could cause an acceleration lower towards 1.15 key support that was acting as resistance back in March. 

Source: GAIN Capital, TradingView

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