EUR/USD flirting with highs near 1.0450, US data in focus

The EUR/USD pair reversed entire losses and now looks to extend a fresh break above 1.0450 levels amid a broad based retreat in the US dollar.

EUR/USD: Focus shifts to US data

Currently, EUR/USD trades almost unchanged at fresh session highs of 1.0454, revisiting daily tops reached at 1.0459 in early Asia. The shared currency appears to have regained poise against its American counterpart in the European session, lifting EUR/USD sharply from a brief dip to daily S1 support placed at 1.0439.

Further, a retreat in the US treasury yields across the curve dragged the US dollar lower against most majors, thereby providing extra legs to the recovery in EUR/USD.

The bulls are in control, although struggle to jump back onto the bids, as a slightly positive tone seen around the European equities dull the funding currency status of the euro.

The major will get influenced by the US economic releases due on the cards later in the NA session, while the EUR calendar remains data-dry for the pre-New Year week.

EUR/USD Technical Levels

In terms of technicals, the pair finds the immediate resistance 1.0459 (daily high). A break beyond the last, doors will open for a test of 1.0474 (daily R1) and from there to 1.0500 (round figure). On the flip side, the immediate support is placed at 1.0418 (dally S2) below which 1.0383 (Dec 21 low) and 1.0352 (yearly/ 14-yr lows) could be tested.