• EUR/USD remains on the defensive around the 1.10 region.
• Below the 55-day SMA, the pair’s stance remains offered.

EUR/USD keeps trading in the vicinity of YTD lows around 1.0990, failing to extend the earlier spike to the 1.1015 level and following three consecutive daily pullbacks.

The inability of the pair to break below the 1.10/1.0990 area on a sustainable fashion should spark some consolidation and, eventually, the resumption of the upside.

In this scenario, the initial hurdle aligns at 1.1067, home of the 100-day SMA. Further up emerges the more relevant 1.1090 area, where coincide the 55-day SMA and the short-term resistance line. As long as this region caps the upside, the outlook on the spot is expected to remain negative.

EUR/USD daily chart