EUR/USD falls toward 1.1200 as dollar benefits from data

EUR/USD came under pressure and hit fresh daily lows during the American session, as the greenback received a boost from better-than-expected US data.

EUR/USD broke its previous session’s range to the downside and approached to the 1.12 area, although it managed to find support a few pips ahead of the psychological level. At time of writing, the pair is trading at 1.1225, still a few pips above its opening price. 

On the data front, ISM's manufacturing index increased to 51.5 in September, bouncing from 49.4 in August when it fell into contraction territory for the first time since February and above the 50.3 expected. 

Meanwhile, sentiment surrounding the Deutsche Bank stabilized on Monday, as German markets remained closed for holiday, while higher oil prices helped to lift European indices.

EUR/USD technical levels

In terms of technical levels, immediate supports are seen at 1.1183 (100-day SMA), 1.1160 (200-day SMA) and 1.1122 (Aug 31 & Sep 21 low). On the flip side, resistances line up at 1.1250/58 (Sep 30 high/Sep 27 high), 1.1283 (Sep 15 high), 1.1326 (Sep 8 high) and 1.1365 (Aug 18 high).