EUR/USD comfortable below 1.1000

EUR/USD failed to regain the 1.10 mark and pulled back from daily highs, erasing its early gains at the greenback picked up momentum at the beginning of the NEw York session.

EUR/USD reached an European session peak of 1.0995 on the back of supportive IFO data, but then faltered and slid to the 1.0970 zone. At time of writing, the pair is trading at 1.0980, still a few pips above its Friday’s close.

With no first-tier data scheduled for the rest of the day, focus remains on Fed’s meeting on Wednesday. No policy adjustments are expected but attention would be on forward guidance as recent upbeat data lifted expectations of a December rate hike.

EUR/USD levels to watch

In terms of technical levels, EUR/USD could find next supports at 1.0951 (Jul 25 low), 1.0911 (post-Brexit low, Jun 24) and 1.0821 (Mar 10 low). On the other hand, resistances are seen at 1.1038 (10-day SMA), 1.1080 (200-day SMA), 1.1164 (Jul 14 high) and then 1.1185 (Jul 5 high).