EUR/USD rises to test daily highs, still faces resistance at 1.1660

• Spot spikes to a fresh high and quickly pulls back. 
• Remains near 1.1640 on consolidation mode. 
• Events ahead: US data and Fed.

Probably boosted by month-end flow the EUR/USD pair rose to 1.1660, reaching the highest level since last Thursday but it quickly pulled back toward 1.1640. In the very short-term it is still moving with a bullish bias.

EUR/USD steady around 1.1620/60

The pair continues to move within a range with support at 1.1620 and resistance at 1.1660. Today’s EZ data and US reports did not influence on the euro, neither the US dollar. Tomorrow volatility could rise significantly with US data (ADP report and ISM) and the FOMC decision. No change in rates is expected from the Federal Reserve but the statement could move markets. 

Earlier today, preliminary inflation figures from the Eurozone showed the CPI advancing 1.4% y/y, below the consensus of 1.5%. While GDP expanded 2.5% y/y in Q3. The positive tone from growth numbers was offset by the slowdown in inflation. 

Eurozone Q3 GDP: New cycle high - Wells Fargo

The greenback and the euro are mixed in the market, both higher versus the yen and the Swiss franc but down against the pound that is outperforming. 

EUR/USD levels to watch

At the moment, the pair is at 1.1650, at the level it closed yesterday. To the upside, a break of 1.1660 could add momentum to the pair for a test of the 100-day moving average at 1.1685. Above the next resistances might lie at 1.1700 and 1.1725 (Oct 23 low). 

On the downside the immediate support is seen at 1.1640 (20-hour moving average) followed by 1.1625 (daily low) and 1.1590 (Oct 30 low).