EUR/USD treading water around 1.2400, US GDP eyed

• The pair gyrates around 1.2400, coming down from tops near 1.2420.
• USD alternates gains with losses in the 89.00 region.
• US Q4 GDP next of relevance later in the NA session.

The single currency is now looking for direction vs. its American peer on Wednesday, with EUR/USD receding from daily highs to the current 1.2400 region.

EUR/USD focused on US data

After bottoming out in the 1.2380 region late on Tuesday, spot managed to regain some buying interest and retake the 1.2400 milestone and above. The up move, however, lost upside momentum around 1.2420 for the time being.

Renewed optimism around a potential meeting between President Trump and North Korean leader Kim Jong-un have reignited the sentiment in the risk-associated space, propping up the advance amidst usual month-end flows.

In the data space, German Consumer Climate tracked by GfK came in above estimates at 10.9 for the month of April. Later in the session, US Q4 GDP figures are due, seconded by Goods Trade Balance and Pending Home Sales.

EUR/USD levels to watch

At the moment, the pair is retreating 0.01% at 1.2401 facing immediate contention at 1.2342 (10-day sma) followed by 1.2241 (low Mar.21) and finally 1.2206 (low Feb.9). On the flip side, a break above 1.2477 (high Mar.27) would target 1.2537 (high Jan.25) en route to 1.2557 (2018 high Feb.16).