EUR/USD offered at 1.1350, reverts to 1.1335 ahead of ZEW

A renewed bout of buying interest around the EUR waned over the last hour, dragging EUR/USD from the mid-point of the 1.13 handle back towards the familiar range around 1.1330 region.

EUR/USD holds 1.13 barrier

Currently, EUR/USD now gains +0.17% to trade at 1.1333, retreating from session highs printed at 1.1349 in the last hour. The main currency pair moved-off highs, although remains well bid, having found support from wavering European indices as markets digest the latest conflicting Brexit poll results and hence, remain cautious ahead of the June 23rd EU referendum.

Moreover, the retreat in the EUR/USD pair can be also attributed to the expectations of a weaker ZEW surveys print, with markets predicting the Brexit fears to weigh on the German business morale in June. While Fed Chair Yellen’s testimony will be also closely heard for further cues on the Fed rate hike prospects.

EUR/USD Technical Levels             

In terms of technicals, the pair finds the immediate resistance 1.1370/77 (daily R1/ Jun 3 High). A break beyond the last, doors will open for a test of 1.1400 (psychological levels). On the flip side, the immediate support is placed at 1.1300 (50 & 5-DMA) below which at 1.1276/44 (20 & 100-DMA) could be tested.