EUR/USD has now climbed to a session high of 1.2130 as buyers are pushing price above the 100-hour moving average (red line) @ 1.2117, trying to establish a more neutral near-term bias following a rebound from key technical support levels yesterday.
Of note, the push higher during the session has also seen buyers take out the near-term trendline resistance in the latest swing move lower and now contesting a potential break of the 23.6 retracement level @ 1.2123.
Further resistance is seen closer to the 200-hour moving average (blue line) @ 1.2160.
The ZEW survey data earlier beat expectations and continues to reaffirm that despite all the negative news surrounding lockdowns in Europe and Germany, investors are still brushing that aside for the most part and sticking to the vaccine/reflation narrative.
That bodes well for euro bulls as the technical picture also starts to turn in their favour, though there is still the risk of Yellen's testimony to follow later today.