During Monday morning, the EUR/USD was trading at the 1.1030 area.
The pair could gain support of the lower boundary of the short-term descending channel and reverse north in the nearest future. Otherwise, some downside potential could prevail.
Economic Calendar Analysis
This week, on Tuesday, minor spike in volatility could occur due to the US Durable Goods Orders Release at 13:30 GMT. This event has caused moves on the EUR/USD charts from 5.1 to 15.1 pips since July 2019.
On Wednesday, the US Federal Funds Rate is scheduled to be published at 19:00 GMT. The event has caused EUR/USD moves from 14.8 to 53.6 pips.
Note that the largest moves occurred during rate cuts. This time, no rate cut is expected. Due to that reason a move of around 15 pips can be expected.
On Thursday, the US Advance GDP publication at 13:30 GMT is set to occur. The event has caused moves from 11.7 to 35.3 pips since October 2018.
Next week's event historical data tables have been published. Click on the link below to read the article.
Read More: 27.01-31.01 Event Historical Reactions
EUR/USD hourly chart's review
On Friday, the EUR/USD currency pair went downwards along the lower boundary of the short-term descending channel. During today's morning, the pair reversed north.From a theoretical perspective, it is likely that the exchange rate could trade upwards in the nearest future, as it should target the upper channel line circa 1.1060.
However, note that the currency pair could face resistance of the 55-hour moving average, and continue to decline along the lower channel line. If the given channel does not hold, the pair could target the weekly S1 at 1.0992.
Hourly Chart
As described on Thursday, the rate has broken out of the squeeze of the 55 and 100-day simple moving averages. The rate has broken out downwards.
In the near term future, the daily simple moving averages are expected to provide resistance and stop the rate's attempts to recover..
Daily chart
Read More: Technical Analysis
Traders are still short on EUR/USD
On Monday, 56% of open EUR/USD position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, set up pending orders were neutral, as 52% of orders in the 100-pip range were to buy and 48% were to sell.