EUR/USD Drops as USD Strengthens during Holidays

1 May 2023

Early Monday, the EUR/USD reached a new intraday low as the bears targeted the 1.1000 round figures. The US Dollar gained strength due to sluggish market activity caused by holidays in many bourses. Keep an eye on the First Republic bidding results to join in on the hawkish Fed bets that may further pressure the EUR/USD before the crucial monetary policy meetings. From a technical perspective, the EUR/USD is approaching the previous support area at 1.09600, where it may encounter a demand zone and rebound to continue growing towards the target of 1.1100