The EUR/USD has declined below the technical support levels that were located near the 1.1035 level.
Namely, the second scenario of Monday has become reality and the currency exchange rate declined down to the 1.1000 level.
FOMC on Wednesday
On Wednesday, September 18, the FOMC Statement and Economic Projections releases are expected at 18:00 GMT. Note that the Federal Funds Rate data will be published at the same time. Last release caused a 53.6-pip move.
EUR/USD hourly chart's review
Yesterday, the EUR/USD currency pair declined to the psychological level at 1.1000. During Tuesday morning, the pair traded near the given level.Note that the exchange rate is pressured by the 55-, 100– and 200-hour SMAs, currently located circa 1.1040. Thus, some downside potential could prevail in the market. In this case, the rate could face support of the weekly S1 at 1.0966.
On the other hand, the 1.1000 psychological level could hold, and the Euro could consolidate against the US Dollar in the nearest future. If the given moving averages do not hold, the pair could reach the monthly PP at 1.1069.
Hourly Chart
On the daily candle chart, the rate has bounced off the resistance of a channel down pattern. Take into account that the upper trend line of the pattern is expected to continue to provide resistance.
Daily chart
Read More: Technical Analysis
Traders short the EUR/USD
On Tuesday morning, 66% of open EUR/USD position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, pending trade orders were bullish, as 66% of orders in 100 pips range around the current rate were to buy and 34% were to sell.
Previously, the orders were neutral.