EUR/USD challenging highs near 1.1340, PMI eyed

The shared currency is trading on a firm note vs. the greenback on Tuesday, sending EUR/USD to test the area of session highs near 1.1340.

EUR/USD stronger on USD selling

Spot gathered further upside traction as the selling bias seems to have returned around the buck, all amidst a cautious sentiment in light of Chairwoman J.Yellen’s speech at the Jackson Hole Symposium on Friday.

On the data front, advanced PMIs in Euroland for the current month will bei n the limelight later during the European morning, while New Home Sales are only noteworthy across the pond.

EUR/USD levels to watch

The pair is now up 0.16% at 1.1338 and a breakout of 1.1367 (high Aug.18) would target 1.1434 (high Jun.24) en route to 1.1466 (high Apr.12). On the flip side, the immediate support aligns at 1.1263 (50% Fibo of the May-June down move) followed by 1.1236 (2014-2016 support line) and finally 1.1204 (20-day sma).