Big battle setting up
EUR/USD is at a fresh low as a wave of US dollar buying goes through the market following strong ADP and wages data.
The euro is now setting up for a battle with the August low of 1.1301. A break lower would be the worst level since July 2017.
Today’s French CPI and German retail sales data both missed estimates and there are increasing questions about the ECB’s forecast for a rate hike in 2019. At minimum, it’s going to be tough for Draghi to continue on with his upbeat tone.