EUR/USD flirting with lows near 100-DMA

The EUR/USD pair extends its overnight side-trend into Asia this Tuesday, and now breaks slightly lower, after having faced strong rejection near 1.1180 region, key confluence zone.

EUR/USD: Upside capped by 5 & 200-DMA confluence at 1.1180/83

Currently, EUR/USD trades almost unchanged at 1.1172, testing session lows struck at 1.1170 earlier on the day. In absence of fresh fundamental drivers, the EUR/USD pair continues to trade around a flat-line, having completely reversed a knee-jerk spike to 1.1200 levels seen in the US last session.

Moreover, markets turn on the side-lines and refrain from placing any directional bet on the major as we head towards the BOJ and Fed decision due tomorrow, which is likely to have significant impact on the USD price-action and hence, eventually on the EUR/USD pair.

In the meantime, traders await the German PPI and US housing data for fresh impetus on the spot.

EUR/USD Technical Levels

In terms of technicals, the pair finds the immediate resistance 1.1183/89 (200 & 50-DMA). A break beyond the last, doors will open for a test of 1.1200 (round figure). On the flip side, the immediate support is placed at 1.1145 (weekly low) below which 1.1121 (Aug 31 low) could be tested.