EUR/USD remains pressured toward 1.2100 amid USD strength

EUR/USD pares gain in the Asian session.
Risk-aversion amid Middle East tensions lifts the demand for the USD.
Pre-US CPI caution trading also boosts the greenback.

Rekha Chauhan Independent Analyst

Persisting buying opportunities in the US dollar drag EUR/USD back towards 1.2100 ahead of the European open. The pair extended the previous day’s decline and refreshed daily lows near 1.2120.

At the time of writing, the EUR/USD is trading at 1.2127, down 0.16% on the day.

The US dollar index (USD), which tracks the greenback movement against major markets, touched multi-day high at 90.32, with 0.22% gains. US Treasury yields are marginally higher at 1.62%. The pair came under pressure on the sudden revival of the US dollar demand.

The move is primarily sponsored by the escalation of Middle-East tensions that prompts investors to ply for the US dollar on its safe haven appeal.

In addition to that, the concerns over inflation mounted amid rising commodity prices and supply chain issues, which could lead the Fed to tighten the policy sooner-than-expected. US economic data on Monday revealed US inflation expectations surged to their highest in a decade.

On the other hand, the euro kept a muted tone on mixed Eurozone data on Tuesday. German’s ZEW Economic Sentiment rose to 84.4 from 70.7 beating the market expectations at 72. For the Eurozone, the Economic sentiment Index edged higher at 84.0 against the market consensus of 65.0. Italian Industrial Production fell by 0.1% in March against the market expectations of 0.4%.

As for now, investors turn their attention to the release of the Eurozone Harmonized Index of Consumer Prices. However, the focus will be majorly on the US Consumer Price Index (CPI) data to gauge the market sentiment.

EUR/USD Additional Levels

EUR/USD

Overview
Today last price	1.2125
Today Daily Change	-0.0024
Today Daily Change %	-0.20
Today daily open	1.2149

Trends
Daily SMA20	1.206
Daily SMA50	1.1951
Daily SMA100	1.2047
Daily SMA200	1.1954

Levels
Previous Daily High	1.2182
Previous Daily Low	1.2123
Previous Weekly High	1.2172
Previous Weekly Low	1.1986
Previous Monthly High	1.215
Previous Monthly Low	1.1713
Daily Fibonacci 38.2%	1.2159
Daily Fibonacci 61.8%	1.2145
Daily Pivot Point S1	1.2121
Daily Pivot Point S2	1.2093
Daily Pivot Point S3	1.2062
Daily Pivot Point R1	1.2179
Daily Pivot Point R2	1.221
Daily Pivot Point R3	1.2238

Author

Rekha Chauhan

Independent Analyst

Rekha Chauhan has been working as a content writer and research analyst in the forex and equity market domain for over two years.

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