• The EUR/USD pair rose higher on Monday as dollar dipped on concerns over overseas geopolitical risks drove investors to safer assets.
   
• North Korea on Sunday made what was believed to be a failed missile test launch, increasing geopolitical risks. Regional tensions have risen over the past weeks as U.S. President Donald Trump has taken a tough rhetorical line with Pyongyang.
   
• Already bruised by worries over North Korea, investor sentiment on dollar took a further hit on weak U.S. economic data.
   
• U.S. retail sales fell for the second straight month in March and consumer prices dropped for the first time in just over a year, a report from the Commerce Department showed on Friday.
   
• However, further upside in this pair is set to be limited as strong resistance at 1.0696 is set to limit upside and bring decline towards lower levels in the short term.
   
• To the upside, the immediate resistance can be seen at 1.0647, a break above this level would expose the pair to next resistance level at 1.0696.
   
• To the downside, immediate support can be seen at 1.0588, a break below at this level will open the door towards next level at 1.0530.
  
  Resistance Levels
  
  R1:  1.0647 (38.2% Retracement level)   
  
  R2: 1.0696 (50% Retracement level)        
  
  R3: 1.0747 (61.8% Retracement level)
  
  Support Levels
  
  S1: 1.0588 (23.6% Retracement level)                    
  
  S2: 1.0530 (March 8th lows)
  
  S3: 1.0447 (Jan 11th lows)