Investing.com - The euro edged higher against the U.S. dollar on Tuesday, pulling away from an 11-month trough as markets paused ahead of upcoming economic reports from the U.S. to be released later in the day.
EUR/USD hit 1.3208 during late Asian trade, the session high; the pair subsequently consolidated at 1.3209, adding 0.13%.
The pair was likely to find support at 1.3179, Monday's low and resistance at 1.3297, the high of August 22.
The euro had come under pressure on Monday after European Central Bank President Mario Draghi tsaid at Jackson Hole on Friday that the central bank is ready to take more unconventional action if needed to stimulate a sluggish euro zone economy.
In addition, the German Ifo Business Climate Index fell to a more than one-year low of 106.3 this month, below forecasts for 107.0 and down from a reading of 108.0 in July.
Meanwhile, demand for the dollar continued to be underpinned as Federal Reserve Chair Janet Yellen said on Friday that the U.S. economy is recovering and added the labor market is improving as well.
Separately, investors remained cautious as Russian President Vladimir Putin was set to meet his Ukrainian counterpart, Petro Poroshenko, later Tuesday amid growing tensions in the region.
On Monday, Ukraine said an armored column including 10 tanks entered from Russia as the government in Moscow unveiled plans to send a second convoy with humanitarian aid.
The euro was steady against the pound, with EUR/GBP inching up 0.04% to 0.7961.
Later in the day, the U.S. was to publish reports on July durable goods orders, as well as house price inflation and consumer confidence.