The pair started this morning at $1.3707 and with lack of leads from the US holiday overnight, spent the early hours of the session drifting between $1.3700 and $1.3710. Euro-dollar lost further ground to a $1.3695 low as rumored sellers from around $1.3720/25 applied pressure on the euro-zone currency. The pair however rebounded off that $1.3695 low and was carried up to $1.3710 as demand appeared from the lows. It managed to reach $1.3717 in the early afternoon but again ran into sellers in the region near that high. The pair was last at $1.3712 with initial support having formed at $1.3690 level though the $1.3674 low from Friday remains key with a close below needed to ease the pressure on higher levels. The 21-day moving average at $1.3619 is aslo considered an important support this week with a close below needed to shiftoverall focus back to the $1.3476 level. The market will be awaiting German and euro-zone ZEW Economic Sentiment release later today for fresh clues.
