EUR/USD struggles to extend gains above 5-DMA

The EUR/USD pair is seen consolidating the Asian recovery below 5-DMA located at 1.0419, but manages to stay above 1.04 handle amid reduced demand for the greenback across the board.

EUR/USD: Will it sustain above 1.0400?

Currently, EUR/USD rises 0.19% to 1.0410, bouncing-off a dip to daily lows reached near the daily pivot of 1.0385. The bulls take a breather after having staged a solid recovery from fourteen-year lows struck yesterday, tracking the consolidation phase in the US dollar against its six main competitors.

More so, positive Asian equities and higher commodities’ prices lifted overall market sentiment, keeping the prices in check. The euro-dollar pair gained renewed strength in the Asian session and regained 1.04 handle as the greenback slipped further across the board.

Next of note for the major remains the US existing homes sales and Eurozone consumer confidence data due later in the NA session.

EUR/USD Technical Levels

In terms of technicals, the pair finds the immediate resistance 1.0419/20 (daily high/ 5-DMA). A break beyond the last, doors will open for a test of 1.0454 (daily R2) and from there to 1.0500 (round figure). On the flip side, the immediate support is placed at 1.0385/83 (daily pivot & low) below which 1.0352 (yearly/ 14-yr lows and 1.0300 (key support) could be tested.