EUR/USD bounces-off 1.1150 again, re-takes 100-DMA

The EUR/USD pair ran through fresh bids once again near 1.1150 levels, now sending the rate back towards 100-DMA located at 1.1175.

EUR/USDL Gains capped by firmer equities

Currently, EUR/USD trades +0.10% higher at 1.1166, making another attempting to take-out 100-DMA resistance. The main currency pair is seen moving back and forth in a 25-pips narrow range so far this session, struggling hard to extend its recovery from weekly troughs reached last Friday.

The major came under fresh selling pressure over the last hour and tested 1.1150 once again, in a delayed reaction to downbeat Eurozone current account data. However, the bulls quickly regained control and pushed the pair higher in familiar range near 1.1170 levels on the back of persistent broad back USD weakness and hawkish comments from the ECB sources, citing that ECB likely to keep rates on hold until at least year-end.

Further, positive trading activity seen around the European equities also weighs on the finding currency euro, and hence, keeps the recovery in check. Amid a lack of significant fundamental drivers due on the cards today, focus shifts towards the US housing data due tomorrow. While the Fed decision will emerge the key risk event for the major this week.

EUR/USD Technical Levels

In terms of technicals, the pair finds the immediate resistance 1.1181/84 (200 & 50-DMA). A break beyond the last, doors will open for a test of 1.1200 (round figure). On the flip side, the immediate support is placed at 1.1145 (weekly low) below which 1.1121 (Aug 31 low) could be tested.