The needed support to resume the surge could be provided by the 55-hour simple moving average, which on Thursday had reached above the 1.1860 level.
Economic Calendar Analysis
Notable events for this week are over. Expect the next week's event analysis to be published during the US trading hours of Thursday.
More detailed analysis for each Trading Ideas section pair is bound to be written in the daily publication on Friday.
EUR/USD hourly chart's review
In the near term future, the SMA could push the rate again through the resistance of the 1.1880 cluster and the 1.1900 level with the weekly R3 simple pivot point. A surge could once again make an attempt to reach the 1.1940 level, where the March 22 high levels are located at.On the other hand a failure of the SMA should result in a decline to the weekly R2 simple pivot point at 1.1848 and the support zone near 1.1840.
Hourly Chart
EUR/USD daily chart's review
On the daily candle chart, the EUR/USD is recovering despite previously piercing a long term descending trend line's support. In the near term future, the rate could find resistance in the 200-day simple moving average, which was near the 1.1900 level.If the 200-day SMA fails, the rate could reach for the 1.2000 mark. The 1.2000 level's resistance was being strengthened by the 55-day SMA and a 23.60% Fibonacci retracement level.
Daily chart
Read More: Technical Analysis
Long sentiment is gone
On Tuesday, on the Swiss Foreign Exchange trader open positions were bullish, as 58% of open position volume was in long positions.
On Wednesday, the sentiment had decreased to 54% long, as some traders had taken profits from the recent surge. By the middle of Thursday's trading, the sentiment was 52% long.
Meanwhile, trader set up pending orders in the 100-pip range around the pair were 60% to sell the pair.
72% of orders were to sell on Wednesday.