FXStreet (Mumbai) - The EUR/USD pair fades a spike to 1.0875 daily highs and drops sharply to the familiar range near 1.0850 region, as the common currency remains little affected by the persisting risk-off market profile. EUR/USD sold-off near 50-DMA Currently, the EUR/USD pair trades flat at 1.0851, retracing from fresh session lows of 1.0842 reached last minutes. The main currency pair finally broke above the Asian consolidation box and rose close to 50-DMA at 1.0880, before meeting fresh supply at the last and reverted to the mid-point of the 1.08 handle, where it now wavers. The downside in the EUR/USD pair remains cushioned on the back of widespread risk-aversion on the back of renewed China slowdown fears, triggered by poor Chinese freight data, which also weighed on the oil prices. China's annual rail freight volume, a key economic indicator, fell 11.9% in 2015, versus a drop of 3.9% in 2014 Meanwhile, the European stocks are extending the previous drop, with the German DAX down -1.32%, the UK’s FTSE losing -1.46%, while the pan-European benchmark, the Euro Stoxx 50 drops -1.40%. Looking ahead, the oil prices are expected to lead the sentiment in the currency markets ahead of Fed decision due tomorrow. EUR/USD Technical Levels In terms of technicals, the pair finds the immediate resistance is seen at 1.0875/80 (daily high/ 50-DMA). A break beyond the last, doors will open for a test of 1.0900 (round number). On the flip side, the immediate support is placed at 1.0803 (Jan 13 Low), below which 1.0786/77 (Jan 25 & 21 Low) could be tested. For more information, read our latest forex news.