EUR/USD losing the grip, near 1.1200

The common currency remains on the defensive today, now dragging EUR/USD to challenge the key support at 1.1200 the figure.

EUR/USD lower on USD-buying

The pair is threatening to break below the 1.1200 support, levels last seen in late March, as the buying interest around the dollar seems everything but abated today. 

It is worth mentioning that USD has been boosted further following a hawkish tone from the Committee in yesterday’s FOMC minutes, reinstating the likeliness of a rate hike in June. According to CME Group’s FedWatch tool, the probability of higher rates next month has climbed to nearly 35%, from below 5% seen on Monday.

EUR/USD levels to watch

The pair is now retreating 0.11% at 1.1204 and a break below 1.1151 (100-day sma) would target 1.1142 (low Mar.24) en route to 1.1101 (200-day sma). On the other hand, the initial hurdle aligns at 1.1291 (55-day sma) followed by 1.1360 (20-day sma) and finally1.1448 (high May 11).