EUR/USD back in the red near 1.1280, 100-DMA eyed?

EUR/USD finally broke its consolidative phase to the downside in the early European trading, and reverted in the negative territory further below 1.13 handle.

EUR/USD heading towards 5-DMA at 1.1276

Currently, EUR/USD trades -0.04% lower at 1.1288, hovering close to fresh session lows of 1.1282 reached last minutes. The main currency pair extends its gradual descent in Europe and now looks to test the 100-DMA support located at 1.1242, as the greenback picks-up strength against its major rivals. The USD index advances +0.10% at fresh session highs of 94.52.

Markets prefer to hold the US currency, with focus now remaining on the Fed verdict due on Wednesday, as the FOMC committee commencing its two-day monetary policy meeting later today.

In the meantime, the Eurozone industrial production and US retail sales are lined up for release later in the NA session, although limited reaction is expected on the data release.

EUR/USD Technical Levels             

In terms of technicals, the pair finds the immediate resistance 1.1301/03 (50-DMA/ Jun 13 High). A break beyond the last, doors will open for a test of 1.1321 (1h 100-SMA/ 10-DMA). On the flip side, the immediate support is placed at 1.1242/38 (100 & 20-DMA) below which at 1.1200 (key support) could be tested.