EUR/USD: Bulls look to conquer 1.1000 amid risk-off?

The bears continue to guard the 1.10 barrier as we head towards the mid-Asian trades, keeping EUR/USD under pressure, despite persistent broad based US dollar weakness and risk-off sentiment.

EUR/USD eyes 1.1000

Currently, EUR/USD trades -0.05% lower at 1.0990, retreating slightly from session lows reached at 1.0983 in the last hour. The main currency pair is seen gradually moving higher in another attempt to regain 1.10 handle in wake of a renewed bout of risk-aversion that gripped Asian markets over the last hour, underpinning bids for the funding currency euro.

Moreover, a minor-recovery in the EUR/USD pair is slowly gaining traction as the greenback pushes lower against most of the competitors. The USD index now drops -0.11% to 97.17, at session lows. However, any upside is expected to remain short-lived as heavy selling in the EUR/JPY cross continues to weigh on the core pair – EUR/USD.

Later today, the major will continue to take cues from the cross-driven price-action as well as from the broader market sentiment, in absence of top notch data release – except for the US consumer confidence figures. The crucial FOMC verdict is up on the cards tomorrow, which will have major impact across the fx board.

EUR/USD Technical Levels             

In terms of technicals, the pair finds the immediate resistance 1.1000 (round number). A break beyond the last, doors will open for a test of 1.1020 (10-DMA). On the flip side, the immediate support is placed at 1.0950 (multi-week lows/ psychological levels) below which 1.0909 (June lows) could be tested.