EUR/USD pulls back, but holds near weekly highs

EUR/USD advanced to a fresh 1-week high during the New York session as the dollar remains under pressure following FOMC meeting.

EUR/USD rose over a full cent over the last sessions and reached a peak of 1.1256 before pulling back slightly. At time of writing, the pair is trading at 1.1230, still up 0.39% on the day. 

The greenback slumped versus most competitors after the Fed refrained from raising rates at its yesterday’s meeting, and even though December is a possibility, investors are doubting Yellen’s willingness to abandon current accommodation.

On the data front, US jobless claims fell to a 2-month low of 252K (262K expected) while on the other hand, existing home sales fell again in August by 0.9% versus an increase of 1.1% expected.

EUR/USD levels to watch

In terms of technical levels, immediate resistances are seen at 1.1283 (Sep 15 high), 1.1326 (Sep 8 high) and 1.1365 (Aug 18 high). On the flip side, supports could be found at 1.1149 (200-day SMA), 1.1122 (Aug 31 & Sep 21 low), 1.1100 (psychological level).