EUR/USD jumps to weekly highs above 1.1350 as US dollar tumbles

• Euro extends gains versus US dollar, to the highest in 12 days. 
• Greenback drops sharply across the board as US yields move lower. 

The EUR/USD pair continued to rise during the American session boosted by a decline of the US dollar and also by a rally of GBP/USD. The euro reached the highest level since February 7. It is having the best performance against the US dollar in almost a month. 

The pair trades around 1.1350, consolidating important daily gains and also away from the 3-month low it hit last week. The rebound is about to face the 20-day moving average at 1.1360. A break higher could signal more gains ahead. 

The main driver has been US dollar weakens. The DXY broke below 96.70 and fell to 96.45, reaching a 1-week low. Lower US yields softened the demand for the dollar. No particular headlines triggered the decline. Comments from Fed’s members and also some optimism about Brexit that boosted the pound, contribute to the slide of the greenback. 

Trade talks between the US and China are taking place. On Wednesday, German PPI and FOMC minutes will be released.

Technical Levels