EUR/USD turns bearish in the near-term, next support seen at 1.2020

The EUR/USD pair fell to 1.2025, its lowest for this year, as the greenback keeps appreciating against its major peers. Bears are set to keep on pressing towards sub-1.2000, FXStreet’s Chief Analyst Valeria Bednarik reports.

Key quotes

“The generalized optimism is based on looming US stimulus talks. US President Joe Biden and Republican senators will start discussing details later today.”

“The EU has published the preliminary estimate of the Q4 Gross Domestic Product, which came in at -0.7%, better than the -1.2% expected. The annual comparison resulted at -5.1%, also beating the -5.4% forecast.”

“The EUR/USD pair has broken below the 38.2% retracement of its November/January rally at 1.2060, and bears will continue to pressure as long as the pair remains below it.”