EUR/USD gains limited as dovish ECB expectations mount ahead of meeting

EUR/USD faces resistance near 1.0900 despite dollar weakness, as markets anticipate a dovish European Central Bank stance at the upcoming policy meeting. While the pair has benefited from broad USD selling pressure, gains remain capped by expectations that the ECB will maintain its accommodative policy stance amid persistent economic headwinds in the Eurozone. USD/JPY continues its downward trajectory as risk sentiment wavers, while EUR/PLN and EUR/CZK movements suggest regional currency strength against the euro. Market positioning indicates traders are cautious about pushing EUR/USD higher without clear ECB guidance. Technical analysis shows resistance at 1.0920 (50-day MA) and support at 1.0850 (previous week's low). The ECB meeting could prove pivotal for euro direction, with any hawkish surprises potentially triggering a break above 1.0950, while dovish rhetoric could see the pair retreat toward 1.0800.