EUR/USD clings to gains near session tops, around 1.1130 region

• EUR/USD manages to find some support ahead of the 1.1100 handle.
• A subdued USD price action helped the pair to regain some traction.
• The upside is likely to remain capped amid absent fundamental catalyst.

The EUR/USD pair maintained its bid tone through the early European session on Thursday and is currently placed near the top end of its daily trading range, around the 1.1125-30 region.

The pair managed to find some support ahead of the 1.1100 handle and regained some positive traction on Thursday. The pair recovered a part of the overnight slide to weekly lows and was being supported by a subdued US dollar demand.

The USD failed to capitalize on the overnight positive move and remained on the defensive after the US House of Representatives on Wednesday voted to impeach President Trump for abuse of power and obstruction of Congress.

Apart from a modest USD weakness, the uptick lacked any obvious fundamental catalyst, making it prudent to wait for some follow-through buying before positioning for any further intraday appreciating move for the major.

The pair's repeated failures to sustain above 200-day SMA points to persistent selling bias at higher levels. Hence, the attempted positive move runs the risk of fizzling out rather quickly amid absent economic releases from the Eurozone.

Moving ahead, market participants will now look forward to the second-tier US economic releases, due later during the early North-American session, in order to grab some short-term trading opportunities.

Technical levels to watch