Daily recommendations on major – EUR/USD

EUR/USD – 0.9962

Euro's break of July's 0.9953 low to a fresh 20-year trough of 0.9927 Monday confirms long term downtrend has resumed and despite staging a strong rebound from 0.9001 (Europe) to 1.0018 in New York yesterday, subsequent retreat has retained daily bearishness and below 0.9901 would yield 0.9868.

On the upside, only a daily close above 1.0018 would risk stronger retracement of recent decline towards 1.0046, break, 1.0070/80.

Data to be released on Wednesday

U.S. MBA mortgage application, durable goods, durables ex-transport, durables ex-defense and pending home sales.