EUR/USD erases gains, hits fresh daily lows

EUR/USD faced some additional pressure over the last hours and retraced completely intraday gains as investors remain cautious ahead of the Federal Reserve decision due tomorrow.

EUR/USD completed a roundtrip to 1.1212, level reached during the European session, and fell back to the 1.1160 area in recent dealings. At time of writing, EUR/USD is trading at 1.1165, now 0.1% below its opening price.

A string of disappointing US housing data did little to inspire the greenback as investors refrain from taking big positions ahead of two major central banks decisions on Wednesday (BoJ and Fed).

EUR/USD levels to watch

In terms of technical levels, immediate supports could be found at 1.1147 (200-day SMA), 1.1100 (psychological level) and 1.1070 (Aug 9 low). On the flip side, resistances are seen at 1.1196/1.1200 (100-day SMA/psychological level), 1.1249 (Sep 16 high), 1.1284 (Sep 9 high) and 1.1326 (Sep 8 high).