EUR/USD challenges highs near 1.1050

By FXStreet FXStreet (Edinburgh) – The buying interest around the European currency is now picking up further pace, pushing EUR/USD to test session tops in the 1.1050/55 band.

EUR/USD firmer ahead of US data

Spot has been trading on a positive tone since the opening bell in the Asian markets today, managing to somehow extend the bounce off recent lows in the boundaries of 1.0900 the figure.

However, further gains remain limited as market participants continue to envisage further easing by the ECB most likely to be announced at its meeting in December. In the same direction, the probability of the Federal Reserve hiking rates in December remains around 50%, limiting further any upside.

EUR/USD levels to watch

As of writing the pair is advancing 0.35% at 1.1044 and a break above 1.1099 (7-month uptrend prev. support now resistance) would target 1.1153 (100-day sma) en route to 1.1206 (61.8% Fibo of 1.1712-1.0894). On the other hand, the initial support lines up at 1.0897 (low post-FOMC Oct.28) followed by 1.0847 (low Aug.5) and finally 1.0808 (low Jul.20).
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Source:: FX Street