EUR/USD stays above the hourly moving averages
And that keeps the near-term bias siding with the buyers, although there is still a lack of momentum to the upside today. The low for the day touched 1.1626, near the 200-hour MA (blue line) @ 1.1625 while the 100-hour MA (red line) lurks nearby at 1.1622.
Stay above those levels, and buyers still retain near-term control in the pair with the 38.2 retracement level @ 1.1640 also providing additional support.
There hasn't been much action in the last two hours of trading as traders remain cautious ahead of the political situation in Germany. That will be the main focus for euro traders on the day, while the other side of the pair (dollar) will be focused on the risk story in the market.
As long as markets remain jittery with stocks continuing to see red, the dollar should remain supported on the day. And if the political spat in Germany continues to take more twists and turns, it's hard to see EUR/USD shake off key support levels for the time being.
But for sellers, there is a need to move below those two levels mentioned above in order to sustain a further move to the downside later today.
