EUR/USD consolidates daily gains, around mid-1.2400s ahead of ADP

   •  In-line EZ CPI fails to provide any fresh impetus.
   •  USD bearish pressure seems to have abated a bit.
   •  ADP report eyed ahead of the key FOMC decision.

The EUR/USD pair now seems to have entered a bullish consolidation phase and was seen oscillating in a narrow trading range around mid-1.2400s.

The pair built on overnight rebound from a 4-day low level and touched a fresh weekly high level of 1.2463, albeit lacked any strong follow-through traction. 

Today's mostly in-line flash EZ inflation figures for January provided little impetus while easing US Dollar bearish pressure was further seen collaborating towards capping any additional gains for the major. 

Moreover, traders also seemed reluctant to place any fresh aggressive bullish bets ahead of the highly anticipated Fed monetary policy decision. Heading into the key event risk, the US private sector employment details - ADP report, due for release in a short while from now, might also provide some short-term trading impetus. 

Technical levels to watch

Any meaningful retracement below 1.2435 level is likely to find support near the 1.2400 handle, below which the pair could correct back towards mid-1.2300s. On the upside, a sustained move above 1.2460 horizontal resistance is likely to accelerate the up-move back towards reclaiming the key 1.2500 psychological mark.