EUR/USD unmoved at 1.0450 after US data

The EUR/USD pair had a muted reaction to US economic releases but has managed to halt its retracement from session high level of 1.0480.

Currently hovering around mid-1.0400s, today’s US economic data provided little impetus for the pair. In fact, the weekly jobless claims dropped to 265K (275K previous) for the week ended December 23, while goods trade balance unexpectedly surged to $65 billion in November, far above $61.5 billion expected. 

Today’s mixed economic data did little to dent the US Dollar’s well-established bullish trend, albeit might have failed to negate Wednesday’s disappointing US pending home sales data but provide a much needed respite for the bulls. 

With US economic releases out of the way, the pair might now witness a subdued price-action in pre-New Year holiday-thinned liquidity conditions. 

Technical levels to watch

Immediate downside support is pegged near 1.0435 below which the pair is likely to accelerate the slide back towards 1.0400 handle ahead of 1.0375-70 support (yesterday's low). On the upside, 1.0480 area now becomes immediate hurdle, which if cleared has the potential to lift the pair beyond 1.0500 psychological mark towards testing its next major resistance near 1.0535-40 zone.