EUR/USD within range near 1.1230

The common currency keeps an unusual tight range vs. the greenback today, with EUR/USD currently navigating the 1.1230/35 band.

EUR/USD finds support near 1.1210

The ongoing consolidative pattern plus the inability of the pair to re-visit highs above the 1.1300 barrier continue to lend support to the view that an interim top has been carved near 1.1370 (August 18).

This scenario has opened the door, initially, a sideline theme, and secondly, a potential resumption of the bearish trend, with the initial target around 1.1200, where is located the 2014-2016 support line.

In the meantime, speculations on the potential move by the Fed in the next months, and particularly at the September meeting, remain the exclusive driver behind the USD-dynamics and the pair’s outlook in the near-to-medium term.

EUR/USD levels to watch

The pair is now losing 0.01% at 1.1234 and a break below 1.1202 (2014-2016 support line) would target 1.1144 (200-day sma) en route to 1.1043 (low Aug.5). On the flip side, the next resistance aligns at 1.1304 (resistance line off 2016 high) followed by 1.1329 (high Sep.8) and finally 1.1367 (high Aug.18).