Oct 5 (Reuters) - The fragile EUR/USD could be set for a bigger slump to a major retracement level in coming sessions due to a combination of weak fundamentals and bearish developments on the weekly chart.

The euro slid sharply on Monday to a multi-month low as fiscal worries in France in the wake of a steep bond market rout stoked contagion fears in the region, helping the dollar shrug off soft US jobs data that dented near-term rate hike expectations.

EUR/USD is at risk of a deeper slide to the 1.1104 level, a 50% retracement of the 1.0125 to 1.2084 (2025 to 2026) EBS rise, in part due to last week's bearish close below the 1.1336 Fibonacci level, a 38.2% retracement of the same 1.0125 to 1.2084 gain.

The downside bias is being reinforced by the 14-week momentum reading, which has been negative for three weeks straight.
Weekly Chart


Weekly Momentum Chart

(Martin Miller is a Reuters market analyst. The views expressed are his own)