EUR/USD recovery momentum gains traction, back around 1.1100 level

A fresh bout of buying interest seems to have emerged, assisting the EUR/USD pair to move back above 1.1100 level and erase all of its losses posted on Monday.

The shared currency has gained over 100-pips from early Asian trading session lows against the US counterpart, as improving global risk-appetite is extending support to global risk-on rally and diminishing the safe-haven appeal of the US Dollar. 

Meanwhile, focus remains over developments surrounding the historic referendum as the European parliament has called for a special session on Brexit and the European Council is holding a two-day meeting in Brussels to discuss UK's vote to end its membership with the European Union.

On the economic data front, traders will be pay attention to the final US GDP print for Q1 2016 and the Conference Board's Consumer Confidence for June, and attempt to grab short-term trading moves.

Technical levels to watch

On a sustained move above 1.1100-1.1110 area, the pair is likely to extend the recovery trend towards 1.1170-80 resistance before making a dart towards reclaiming 1.1200 handle. On the flip side, reversal from current resistance and a subsequent break below 1.1050-45 immediate support seems to drag the pair back below 1.1000 psychological mark support, towards testing 1.0970 horizontal support.