It has been a limited start to this.....>

EURO-DOLLAR: It has been a limited start to this week's dealing for EUR/USD,

with the rate trading either side of $1.1600.

- The pair traded lower for most of Friday's session with late USD strength &

Fitch downgrading Italy's credit rating outlook to negative weighing through the

second half of the session. It is worth noting that Fitch affirmed Italy's Bbb

rating, with the fiscal worry generated by the ruling government providing the

major source of worry.

- Bulls need a close above $1.1700 to reignite momentum. The pair breached its

55-DMA as it moved lower on Friday, but bears narrowly missed out on a weekly

close below $1.16. Nearby support is located at Friday's low ($1.1585), followed

by the 38.2% retracement of the move from $1.1301 to $1.1733 ($1.1568).

- Focus this week will fall on final EZ PMI data, which headlines the European

docket.