EUR/USD hits three-week lows and tests the critical 1.0100 area amid a stronger dollar.

US Dollar rises across the board during the American session.EUR/USD under pressure, testing critical support.Break under 1.0100 could trigger a test of parity.

The EUR/USD dropped sharply during the American session and hit at 1.0107, the lowest level since July 27. It remains near the lows, under pressure amid a stronger Us dollar across the board.

The greenback strengthened even as US yields remained steady and also as stocks in Wall Street sideways. The DXY is up 0.55%, at monthly highs near 107.30.

Regarding economic data, the weekly report showed Initial Jobless Claims declined to 250K, below market consensus; the Philly Fed jumped to 6.2 in August from -12.3, also surpassing expectations. On the negative front, Existing Home Sales tumbled to 4.81M, posting the sixth monthly decline in a row.

Short-term outlook

The EUR/SD is facing increasing bearish pressure and is near a critical support at 1.0110. A break below 1.0100 would expose the parity level, ending with weeks of a range. The bearish pressure in the short-term will likely persist while under 1.0135.

The euro needs to recover 1.0135 to avoid more losses. The next resistance stands at 1.0160 followed by the strong barrier near 1.0200.

EUR/USD falls through 1.0100 amid renewed dollar strength

EUR/USD came under heavy bearish pressure, now trading below the 1.0100 level and at its lowest for this month. Although the data from the US showed that Existing Home Sales fell sharply in July, the economy seems resilient to global woes.

EUR/USD News 

GBP/USD slumps to multi-week lows below 1.2000

GBP/USD extended its daily slide and touched its weakest level since late July below 1.1970. The broad-based dollar strength, as reflected by a more than 0.5% increase in the US Dollar Index, forces the pair to continue to stretch lower in the American session.

GBP/USD News 

Gold bearish breakout underway

Gold is losing ground for a fourth consecutive day, trading at fresh weekly lows. The metal suffers from renewed dollar strength, as US data suggest the economy remains resilient to the latest global woes, leaving room for the Fed to maintain its aggressive stance.

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