The single currency is trimming earlier losses vs. the dollar, now pushing EUR/USD back to the area of 1.1290/1.1300 ahead of US data.

EUR/USD still in red on USD-buying

The buying interest around the greenback now seems to be taking a breather, allowing the current rebound in spot after falling as low as 1.1260 earlier in the session.

EUR-selling has been a recurrent theme today against a mild backdrop favouring the risk-on trade and some profit taking in light of the recent strong gains. However, today’s pullback is far from snap another positive weekly close in the pair, the third in a row.

In the data space, the US flash Reuters/Michigan index is next on tap, followed by speeches by FOMC’s Rosengren and Bullard.

EUR/USD levels to watch

The pair is now losing 0.22% at 1.1293 facing the next support at 1.1220 (23.6% Fibo of 1.0709-1.1378) ahead of 1.1043 (200-day sma) and finally 1.1012 (55-day sma). On the other hand, a breakout of 1.1344 (high Mar.17) would target 1.1378 (2016 high Feb.11) and then 1.1496 (monthly high Oct.15 2015).

The single currency is trimming earlier losses vs. the dollar, now pushing EUR/USD back to the area of 1.1290/1.1300 ahead of US data…

(Market News Provided by FXstreet)

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By FXOpen