EURUSD Rejected at 100-Hour MA, Falls to New Session Low

EURUSD failed to extend gains above the 100-hour moving average during North American trading, reversing sharply to a new session low of 1.1589. The pair initially rallied toward the key technical level but sellers stepped in, pushing the euro lower as the dollar strengthened.

The rejection at the 100-hour MA reinforces the near-term bearish bias for EURUSD. The catalyst came from the University of Michigan sentiment survey, which showed higher inflation expectations, pushing US yields higher and widening the rate differential in favor of the dollar. For currency traders, this dynamic underscores the importance of yield spreads in driving EURUSD direction. When US yields rise relative to European yields, the dollar tends to attract capital inflows, pressuring the euro. Real-time exchange rate data on NowPrice shows the pair trading near the session low, reflecting persistent selling pressure.

Looking ahead, traders will monitor upcoming US economic data, including durable goods orders and the Fed's preferred inflation gauge, for further clues on the interest rate outlook. A break below the 1.1580 area could open the door to the next support zone around 1.1550, while resistance remains at the 100-hour MA near 1.1620. Any rebound attempts are likely to face selling pressure unless US yields reverse course.