FXstreet.com (Barcelona) - The Euro has depreciated sharply during Asian and European session on Monday and from an opening price around 1.4200, the Euro has dropped to 1.4050 low; at the moment of writing, the pair trades at 1.4060.

Initial support level lies at the mentioned 1.4050, and below there, 1.4005 (Jul 29 low) and 1.3990 (Trendline support from 15 Jun low). On the upside, initial resistance lies at 1.4080, and above here, 1.4100/20 and 1.4160 (Aug 14 low).

According to Peter Rosentreich, technical analyst at ACM - Advanced Currency Markets, the key support level lies at 1.4010: The final level for the bulls to defend here is the lower 5 month uptrend channel at 1.4010 / 34 and failure there will spell the beginning of a significant USD strength.