The EUR/USD pair closed at 1.1764 after placing a high of 1.1793 and a low of 1.1760. EUR/USD prices fell for the fourth session in the previous five days and reached near their lowest since November 2020 amid the U.S. dollar’s strength and the rising pandemic concerns in Europe. The lack of fresh fundamental drivers kept the currency pair range-bound on Monday as the pair continued to struggle to get close to the 1.1800 level. The rising concerns about the lockdown and the pandemic’s course in the Eurozone area kept the single currency under pressure against the U.S. dollar.

German Chancellor Angela Merkel does not see the lockdown restrictions in many states as sufficient to contain the third wave of coronavirus and is reportedly threatening to impose federal law to ensure restrictions are tough enough. She urged federal states to impose additional restrictions like curfew to prevent exponential growth of the virus. Meanwhile, the rising infection rates in European countries mean easing lockdown measures in many countries will not happen soon. These concerns have kept the single currency Euro under pressure for the past few weeks that have been weighing on the EUR/USD pair.

On the other hand, the U.S. dollar was strong on Monday amid a combination of factors that involved optimism around economic recovery due to vaccination campaigns, Fed officials’ latest comments, and the rising risk-off market sentiment. The U.S. Dollar Index reached 93 level on Monday, and the U.S. Treasury yields on the 10-year note remained flat at 1.7% that supported the greenback and weighed heavily on the currency pair EUR/USD. On Monday, US President Joe Biden said that by April 19, about 90% of American adults would be qualified for coronavirus vaccines, and the spots of vaccinations will be offered within five miles of an individual’s home.The new timeline for nationwide eligibility of Biden’s vaccine was nearly two weeks ahead of his previous May 1. For the rest of the 10% of the population, Biden said that they would be eligible by the time. He also announced to deliver 33 million doses of vaccines by the U.S.’s Federal government this week.

Furthermore, the Fed Governor Christopher Waller said on Monday that Federal Reserve was independent of federal authorities in Congress, and the current policy decisions have not been made to keep the borrowing cost low. Fed critics have said that the central bank has kept the rates lower to keep borrowing at low rates. At the same time, Waller rejected these notions and said that Fed’s monetary policy decisions were completely independent of politics. These comments supported the U.S. dollar along with the rising hopes for economic recovery due to vaccination campaigns and weighed on the EUR/USD.

Daily Technical Levels
Support Resistance
1.1749 1.1786
1.1736 1.1810
1.1712 1.1822
Pivot Point: 1.1773

The EUR/USD pair fell sharply to trade at 1.1770 level over stronger U.S. dollar. On the higher side, it may now face resistance at 1.1803 and 1.1826 level. At the same time, the support continues to hold around 1.1760 level. Considering the EMA, RSI, and MACD, the pair may continue to exhibit selling bias until the 1.1760 level. Let’s consider selling below 1.1760 to target the 1.1710 level today. Good luck!