Investing.com - The euro was steady against the U.S. dollar on Tuesday, trading near more than three-week highs as markets eyed the release of euro zone data later in the day, following a relatively positive forecast from the European Commission on Monday.
EUR/USD hit 1.3885 during late Asian trade, the session high; the pair subsequently consolidated at 1.3879, inching up 0.03%.
The pair was likely to find support at 1.3812, the low of May 2 and resistance at 1.3905, the high of April 11.
On Monday, the European Commission said it expects the bloc's economy to continue to recover through 2015, but warned that persistently low levels of inflation and geopolitical tensions with Russia could threaten the recovery.
The EC said the euro zone’s economy will expand 1.2% this year, unchanged from its February forecast and grow 1.7% in 2015, down slightly from 1.8% previously.
The commission cut its forecast for euro zone inflation to 0.8% this year and 1.2% in 2015, down from 1.0% and 1.3% in February.
Meanwhile, the dollar found some support after the Institute of Supply Management on Monday said its non-manufacturing purchasing managers' index rose to a five-month high of 55.2 in April, from a reading of 53.1 in March, compared to expectations for a rise to 54.1.
The euro was lower against the pound, with EUR/GBP slipping 0.10% to 0.8217.
Later in the day, the euro zone was to produce data on retail sales, while Spain is to release reports on employment and service sector activity. The U.S. was to release data on trade.