EUR/USD stalls recovery just shy of 1.1300, falls back to 1.1270

FXStreet (Mumbai) - The offered tone surrounding the EUR/USD pair increased in the European afternoon, as the USD bulls regained control ahead of key US macro releases, which may further lift the generalized market sentiment.

EUR/USD faces stiff hurdle around 1.1295

The EUR/USD pair trades -0.38% lower at 1.1274, unable to break above 1.13 barrier. The major snapped its recovery from lows and slipped further in the red as the traders now favour the US currency ahead of the US ADP and factory orders data due later in the New York session.

Adding to the losses in EUR/USD, increasing appetite for riskier assets shifted the EUR bulls to the backseat as the European indices flipped back to gains amid high market volatility.

Meanwhile, the sluggish Euro zone factory gate prices also further added to the pain in the European currency versus the greenback. On a monthly basis, factory gate inflation eased 0.1% July, ticked down one notch from the flat reading seen in June.

EUR/USD Technical Levels

The pair has an immediate resistance at 1.1320 (Today’s High), above which gains could be extended to 1.1361 (Aug 24 Low), levels. On the flip side, support is seen at 1.1242 (Today’s Low) below which it could extend losses to 1.1204 (Sept 1 Low) levels.