The common currency extended declines, falling to a two-month low at 1.1140. The Eurozone consumer confidence data showed that the index registered -6.6 in July from -7.2 in June. This was slightly better than the forecasts. The flash manufacturing and services PMI reports are due to come out later today.
Can EURUSD Hold the Declines?
The decline to 1.1140 level came following the breakout from the minor support level at 1.1250. The Stochastics Oscillator is currently oversold and could indicate that the declines are overdone. As a result, there is scope for the currency pair to rebound. However, the gains are likely to be limited to the 1.1250 level which could act as resistance.
