EUR/USD rises to a session high of 1.0868 but buyers need to do more
Dollar weakness remains a key theme to start the session and that has helped EUR/USD climb to a high of 1.0868 before easing back a little.
Price action is sitting above both the key hourly moving averages today and that suggests the near-term bias in the pair is more bullish. However, buyers still have more work to do.
The key resistance region around 1.0880-00 is still proving to be a stretch too far and that is limiting any real topside break in the pair as seen with trading yesterday.
As such, unless buyers can work their way through that, any further trending move to the upside will remain limited for now.
The risk mood is a little bit all over the place to start the session as US futures eased slightly before firming once again to keep around 0.8% gains currently.
However, European stocks are a little more iffy with the DAX near flat levels now after holding around 0.4% gains at the open earlier. Meanwhile, the bond market still isn't biting as 10-year Treasury yields are down by 1.3 bps to 0.60%.
The flows are increasingly tricky amid some month-end rebalancing as well but perhaps there will be more clarity once we hear from the Fed later on today.
For now, while the near-term push is siding with euro buyers, any real topside momentum is still found wanting as the resistance region around 1.0880-00 is still holding up.
