EUR/USD retreats below 1.0450 as USD recovers

The EUR/USD pair stalled its recovery near 1.0465 region, and slips back below the mid-point of 1.04 handle amid stalled USD selling across the board.

EUR/USD awaits US data

Currently, EUR/USD trades +0.28% to hit fresh session lows of 1.0444, now testing 5-DMA resistance-turned support located at 1.0446. The main currency pair’s vertical rise lost legs in the European session after the USD bulls regained lost footing somewhat, and fuelled a minor-recovery in the greenback against its main competitors. Meanwhile, the USD index now trades -0.30% around 102.95, recovering from a low of 102.81.

The major remained unperturbed by the negative performance on the European stocks, as the price-action is largely influenced by the USD dynamics. Focus now remains on the Eurozone money supply data in absence of significant fundamental drivers in EUR calendar. While unemployment claims and goods trade balance data may provide the much-needed impetus in the NA session.

EUR/USD Technical Levels

In terms of technicals, the pair finds the immediate resistance 1.0473 (daily R1). A break beyond the last, doors will open for a test of 1.0500 (round figure) and from there to 1.0544 (Dec 15 high). On the flip side, the immediate support is placed at 1.0421 (daily pivot) below which 1.0400 (zero figure) and 1.0369 (previous low) could be tested.