The dollar is keeping a little lower to start European morning trade
However, it is paring some of its earlier declines in the past two hours against some major currencies to kick start the session.
EUR/USD is seeing a fall back to 1.2120 after having hit a high of 1.2138 earlier, with the 200-hour moving average (blue line) keeping buyers at bay for now. This follows a rebound after the brief decline below 1.2100 in trading yesterday.
As such, price action suggests that the near-term stays more neutral for now in the pair with the 100-hour moving average (red line) limiting downside @ 1.2101 for now.
Meanwhile, AUD/USD is also seeing a slight pullback after seeing its push higher stall at the swing region closer to 0.7780 on the day. Price now trades back down to 0.7755 but the near-term chart still reveals a more bullish bias for the time being.
The key region to watch in case of a further pullback will be the 100 and 200-hour moving averages @ 0.7714 and 0.7727 respectively.
Elsewhere, the dollar is still keeping softer in general with GBP/USD continuing to threaten a firm break above 1.3700 with EUR/GBP slumping to fresh lows of 0.8841.
Meanwhile, USD/CAD is also flirting with daily support around 1.2630 (6 January low) - keeping around that level now after having eased to a low of 1.2611 earlier.
The more positive risk mood in general is still a factor weighing on the dollar, with the market running quietly with the Fed put amid the pause in the bond market.
That suggests some potential downside for the dollar but again, there has to be confirmation from the charts for anything substantial to materialise.
For now, there is some stretching, but no key breaks as of yet.
