EUR/USD clinches highs near 1.1220 ahead of ZEW

The swelling offered bias around the dollar is helping EUR/USD to advance further north of the 1.1200 barrier ahead of the opening bell in Euroland on Tuesday.

EUR/USD attention to ZEW

Further weakness hitting the greenback early in the Old Continent has given extra legs to the pair, which is now challenging last week’s spike to the vicinity of 1.1230 ahead of the ZEW Survey in Germany and the euro area.

Market consensus expects the survey to improve in all of its components for the current month, sustaining further the up move in spot.

Across the pond, July’s inflation figures measured by the CPI are due along with Building Permits, Housing Starts, Industrial Production and the speeches by FOMC’s Lockhart and Bullard.

EUR/USD levels to watch

The pair is now up 0.30% at 1.1216 and a break above 1.1224 (high Aug.12) would open the door to 1.1236 (high Aug.2) and finally 1.1263 (50% Fibo of the May-June down move). On the flip side, the immediate support aligns at 1.1115 (20-day sma) followed by 1.1092 (200-day sma) and then 1.1043 (low Aug.5).