FXStreet (Mumbai) – The EUR/USD pair failed another to extend beyond 1.13 handle and wiped out gains in the mid-European session, falling back near session lows.
EUR/USD capped below 1.1300
The EUR/USD pair trades modestly flat at fresh session lows of 1.1271, now eyeing a test of 1.1250 levels. After facing rejection at 1.1300 levels on several occasions, the major receded to 1.1270 region as the European traders now favour the US currency ahead of the upcoming US data flow.
Moreover, the common currency failed to benefit from the falling European indices amid re-emergence of risk-off moods as investors turned cautious ahead of the Fed meeting next week. Recently, markets have been closely tracking the sentiment around the European stock markets for cues on the funding currency – the euro.
On the data space, German final CPI figures were reported which revealed that the consumer prices remained flat m/m in the August. Back in July, the gauge added 0.2% on the same basis.
Looking ahead, markets now await the US PPI and consumer sentiment data to be released later in the day.
EUR/USD Technical Levels
The pair has an immediate resistance at 1.1320 (Sept 2 High), above which gains could be extended to 1.1366 (Aug 27 High) levels. On the flip side, support is seen at 1.1214 (Sept 2 Low) below which it could extend losses to 1.1159 (Aug 31 Low) levels.
(Market News Provided by FXstreet)