EUR/USD falls to 1.1190 on a quiet session

EUR/USD dropped to 1.1190 but it remained moving in a modest range on another low volatility session in the forex market. The pair continues to consolidate  around 1.1200 ahead of tomorrow’s FOMC decision. Cautiousness across financial markets dominate the day. 

42-pip range

The euro bottomed at 1.1184 and then bounced to the upside. It peaked at 1.1223 and quickly pulled back toward 1.1215. The upbeat ZEW survey of the Eurozone for June did not boost the euro, neither did the US Producer Price Index, that showed no change in May. Traders appear to be waiting for the FOMC statement. 

“Seems unlikely that the pair could breakout the 1.1160/1.1260 range ahead of the Fed's outcome this Wednesday”, said Valeria Bednarik, Chief Analyst at FXStreet.

Levels to watch 

The pair is hovering near the 1.1200 area. To the downside, immediate support is seen at 1.1185 (Daily low), 1.1160/65 (Jun 9 low) and 1.1135. On the upside, resistance could be located at 1.1201 (20-hour moving average), 1.1225 (Daily high) and 1.1260.