Price action continues to linger close to the 1.1200 handle
The pair is holding slightly higher today, largely on the back of dollar weakness across the board. That said, buyers are in near-term control after managing a break above the 100-hour MA (red line) overnight and then defending the level in early trading today.
As it stands, there is near-term resistance around 1.1219 for buyers to contend with but I reckon trading may be a bit more cautious in the days ahead as traders may be fearing a potential backlash if US-China trade talks in Washington break down.
In such a event, the dollar is expected to gather bids on haven flows and that could see the pair retrace its gains here. Further resistance and light offers are noted around 1.1230 before the 1 May high of 1.1265 will act as the next significant near-term resistance.
As for trading today, it will depend on the way risk sentiment develops and for now it looks like markets are leaning towards being more optimistic but there is still a hint of caution. Should the risk-on mood pick up, I would expect the pair to extend gains but that upside is likely to remain limited by the resistance levels highlighted above.