EUR/USD upside failed ahead of 1.10

The renewed selling bias around the greenback is helping EUR/USD to return to the area near the psychological barrier at 1.1000 the figure at the beginning of the week.

EUR/USD bid after ZEW, USD retreats

The USD-rally seems to be taking a breather on Monday, allowing the pair to recover some ground after bottoming out near 1.0920 in early trade.

Adding to the upbeat mood, better-than-expected results from July’s German IFO have lent extra support to the demand for EUR today, although a new visit of the 1.10 handle still remains elusive.

Further news, and according to the latest CFTC report, net speculative EUR shorts have climbed to levels last since in late January.

EUR/USD levels to watch

The pair is now advancing 0.14% at 1.0991 and a breakout of 1.1062 (20-day sma) would target 1.1076 (200-day sma) en route to 1.1166 (high Jul.14). On the other hand, the immediate support lines up at 1.0913 (post-Brexit low Jun.24) ahead of 1.0820 (low Mar.10) and then 1.0777 (low Jan.21).