The euro busted through stops on a fall below 1.2800 to a fresh 14-month low at 1.2788. It was a 35-pip move in minutes.
A rumored knock-out option at 1.2800 was busted. The leaked French jobseekers report showed fewer people looking for work in August but it hasn’t helped the euro.
The bigger story is US traders buying dollars once again today. The Dollar Index is at a fresh cycle high.
From here down to 1.2745, it’s a tough slog for euro shorts but discount nothing with the strength of the dollar.
EURUSD weekly chart
A level to keep a close eye on is 1.2788 which is the 61.8% retracement of the rally to 1.39 from 1.20.
