EUR/USD losses momentum, near 1.0900

The upside bias around the European currency is now losing some traction, pushing EUR/USD back to test the 1.0900 neighbourhood.

EUR/USD gains faltered near 1.0950

After recording fresh 2017 tops in the mid.1-0900s, the pair sparked a correction lower to the current area of 1.0900 the figure amidst some recovery in the greenback.

The risk-on trade has subsided somewhat during the morning in the Old Continent, weighing on EUR and forcing spot to recede from recent tops in the 1.0950 region seen in early trade.

The move is accompanied by a poor performance of yields in the German money markets, retreating from recent multi-day peaks.

Nothing scheduled data wise in Euroland, while the ECB meeting tomorrow will be the salient event for the EUR this week. Across the pond, the weekly report on crude oil stockpiles by the EIA is only due ahead of Thursday’s Durable Goods Orders and Friday’s flash Q1 GDP figures.

EUR/USD levels to watch

At the moment, the pair is losing 0.30% at 1.0901 and a breach of 1.0837 (200-day sma) would target 1.0819 (low Apr.24) en route to 1.0780 (high Apr.20). On the other hand, the next hurdle lines up at 1.0950 (2017 high Apr.26) followed by 1.1000 (psychological handle) and then 1.1300 (high Nov.9 2016).