ANZ Research adopts a sell-on-rallies bias on EUR/USD.

"We view US data, Fed expectations and broader risk sentiment as the dominant drivers of EUR/USD direction in the near term. The technical backdrop also remains soft," ANZ notes.

"EUR/USD is trading below its 50-, 100- and 200-day moving averages, reinforcing the broader downtrend. Initial support is around 1.132 (1 year low), with a break opening the way towards 1.12. We see any tactical upside as an opportunity to sell. Resistance is seen at 1.14 and then 1.154," ANZ adds.