The U.S. dollar steadied in the lower half of an increasingly intransigent range on Monday, after sliding late last week following another round of disappointing U.S. economic data.
The run of poor numbers, attributed mostly to winter weather, has lengthened the latest pause in the currency's rally to almost seven weeks and brought "long" bets on further gains to their lowest since September.
While that is some reflection of a dip in conviction over the scale of any further gains by the greenback, it also means there is more room in trading books for investors to bet on it again.
Of crucial interest this week will be the U.S. Federal Reserve's attitude to the economic numbers.
The greenback was up 0.2% at $1.0853 per euro. The dollar index, which tracks the greenback against a basket of six major rivals, gained about 0.1% to 97.02.
One expert said fair value for the euro was probably around $1.15 but it might fall another 5-10% before stabilizing.
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