EUR/USD around 1.1180 pre-CPI

FXStreet (Edinburgh) - The common currency remains on the back footing on Monday, with EUR/USD prolonging its bearish note from last Friday’s breach of the key 1.1200 support.

EUR/USD attention to EMU’s CPI, ECB

The immediate risk event for the pair today will be the release of the flash CPI figures for the last month, with consensus expecting consumer prices in the region to have contracted 0.5% on a yearly basis, a tad better than the previous 0.6% contraction; the unemployment rate is expected unchanged at 11.4%.

Later on in the week, the ECB meeting should provide further details regarding the beginning of the ‘quantitative easing’ programme, as according to the central bank officials, there still are some details in regard to the implementation of the bond-buying scheme.

EUR/USD levels to consider

At the moment the pair is down 0.06% at 1.1183 and a breakdown of 1.1100 (psychological level) would open the door to 1.1098 (11-year low Jan.26) and then 1.1000 (psychological level). On the upside, the initial hurdle lines up at 1.1245 (high Feb.27) followed by 1.1317 (10-d MA) and finally 1.1345 (21-d MA).