EUR/USD Drops Below 100-Day SMA as Dollar Strengthens

The EUR/USD pair has fallen below its 100-day simple moving average (SMA) after failing to sustain gains above 1.1600, signaling a bearish short-term outlook for the currency pair.

This technical development comes as the U.S. dollar index rebounded from recent lows, supported by hawkish comments from Federal Reserve officials and stronger-than-expected U.S. economic data.

The European Central Bank (ECB) has maintained a dovish stance, with policymakers signaling that interest rate hikes remain distant, which continues to weigh on the euro.