EUR/USD was all set for a fairly steady few days into next week’s FOMC meeting on Wednesday. A “wait-and-see” mode was expected with softer US data, most notably NFP and CPI, hitting dollar sentiment. Conversely, an uneasy risk environment was helping support USD with safe-haven demand evident. Having traded around 1.18 for several days, this significant support level was broken yesterday with the EUR falling to levels last seen in late August. The failed test of 1.19 at the start of this month now looks like a false break of the downtrend from the May highs. The 61.8% Fib retracement of the late August-early ... (full story)