At 19:00 GMT the US Federal Reserve Meeting Minutes were released, which revealed that the Fed is not considering any rate cuts in 2023. In theory, the US Dollar should have surged and the EUR/USD declined. However, there was no initial reaction.
Economic Calendar Analysis
On Thursday, the US ADP Non-farm Employment Change might impact the value of the US Dollar at 13:15 GMT.
On Friday, The United States employment data release at 13:30 GMT is highly likely going to impact the US Dollar. Later on, at 15:00 GMT the ISM Services PMI is set to cause minor impact on the financial markets.
EUR/USD hourly chart
In the case of a surge above the resistance levels near 1.0630/1.0640, the pair might reach for the weekly simple pivot point at 1.0671.On the other hand, a decline of the Euro against the US Dollar would have to pass the support of the 1.0575/1.0595 zone, before approaching the weekly S2 simple pivot point at 1.0556 or the Tuesday's low at 1.0520.
Hourly Chart
EUR/USD daily chart's review
On the daily candle chart, the pair is approaching the 1.0500 mark, which acted as resistance in late November and as support in early December.Meanwhile, note the support of the 50-day simple moving average near 1.0425 and the 2022 support and resistance zone at 1.0350/1.0400.
Daily chart
Read More: Technical Analysis
Traders go short
On Wednesday, trader open positions were bearish, as 56% of open position volume was in short positions.
Meanwhile, trader set up pending orders in the 100-pip range around the pair were 54% to buy the Euro against the USD.
On Tuesday, these traders took profits, as only 51% of volume remained short. Pending orders were 51% to sell.