EUR/USD testing lows near 1.0630 post-ZEW

The selling mood around the European currency is gathering traction today, with EUR/USD now flirting with daily lows near 1.0630.

EUR/USD weaker on ZEW

Spot intensified its daily decline today after German ZEW Survey has come in below expectations for the month of March, with both Economic Sentiment and Current Conditions missing initial estimates.

On the brighter side, EMU’s Economic Sentiment improved to 25.6 during the current month, surpassing prior forecasts.

In the meantime, the better tone around the greenback continues to weigh on the pair, which has now shed around a cent since Monday’s multi-week tops above the 1.07 mark.

In the US docket, the NFIB index dropped to 105.3 for the month of March ahead of the release of February’s Producer Prices.

EUR/USD levels to watch

At the moment the pair is losing 0.13% at 1.0640 and a break below 1.0619 (55-day sma) would target 1.0611 (short-term support line) en route to 1.0591 (20-day sma). On the upside, the next hurdle aligns at 1.0715 (high Mar.13) ahead of 1.0829 (2017 high Feb.2) and finally 1.0873 (high Dec.8 2016).