EUR/USD deflates from 1.0480 highs ahead of Ifo

The shared currency picked-up strength versus its American peers in the European morning, driving EUR/USD to fresh daily tops, before easing slightly to return to familiar ranges around 5-DMA.

EUR/USD awaits German Ifo surveys

Currently, EUR/USD rises +0.14% to 1.0463, retreating from fresh session highs posted at 1.0480 some minutes ago. Aggressive selling seen around the US dollar against its six major peers is seen adding extra legs to the recovery in the EUR/USD pair from a dip to 1.430 region seen in the overnight trades.

While a retreat in oil prices combined with mixed close on the Asian indices fuelled risk-off moods, which boosted the funding currency status of the euro.

The renewed bout of buying interest behind the EUR can be also attributed to increased expectations of an improvement in the German business climate, which will be reflected in the Ifo surveys due later in the European session.

EUR/USD Technical Levels

In terms of technicals, the pair finds the immediate resistance 1.0500 (round figure). A break beyond the last, doors will open for a test of 1.0530 (10-DMA) and from there to 1.0595 (20-DMA). On the flip side, the immediate support is placed at 1.0400 (round number) below which 1.0366 (14-yr low) and 1.0300 (key support) could be tested.