EUR/USD dropped 25 pips Monday and......>

EURO-DOLLAR: EUR/USD dropped 25 pips Monday and last trades flat at $1.1357. The

pair initially climbed to session highs of $1.1443 before being run over by the

Brexit bus, shifting the outlook neutral, as UK PM May decided to postpone

Tuesday's parliamentary vote on her Brexit deal, although No. 10 publicly

rejected such an option earlier in the day. 

- Also worth noting that France rolled out tax breaks & wage increases in

response to the recent social unrest, while the EU pointed to a winding down

clock re: Italian budget matters. 

- Downside focus initially falls on the 61.8% fibo retracement of the move from

$1.1267 to $1.1443 at $1.1334, which is followed by the Dec 6 lows of $1.1321.

Conversely, bulls need a break above the 55-DMA at $1.1427 before challenging

the upper Bollinger band (2%) at $1.1450. 

- The ECB MonPol decision is due Thursday, with Friday set to bring a raft of

ECB speak in the wake of the decision. Key economic releases include German ZEW

survey due later today, as well as EZ & German mfg flash PMIs due Friday.