EUR/USD: recovery lacks momentum

EUR/USD made another upside attempt and hit fresh 5-day highs during the New York session, although the spike faltered at the 1.0670 area.

The shared currency reached a peak of 1.0666 but lacked enough momentum to stage a steeper recovery and pulled back to the 1.0640 area, where it trades virtually unchanged on the day.

With no data in the economic calendar, investors remain on the sidelines ahead of the FOMC decision tomorrow, leaving the pair is struggling to set a longer-term direction, what seems pretty unlikely for the next sessions. On Wednesday, the Fed will decide on monetary policy, with a 25 bps rate hike broadly expected.

EUR/USD levels to watch

In terms of technical levels, next  resistances could be found at 1.0666 (Dec 13 high), 1.0795 (Dec 5 high), 1.0846 (50-day SMA) and 1.0923 (Nov 11 high). On the other hand, supports are seen at 1.0524 (Dec 12 low), 1.0519 (Nov 24 low) ahead of its 1-year low of 1.0504 (2016 low, Dec 5) and 1.0499 (Dec 3 2015 low).

To learn more about this topic, check our video analysis:

eur usd from Tip TV Productions on Vimeo.