EUR/USD surges above technical levels

Note: This section contains information in English only.
Source: Dukascopy Bank SA

On Friday, the EUR/USD continued to be pushed higher by the support of the 55-hour simple moving average. By the middle of the day, the SMA had approached and strengthened the support of the pivot point at 1.1093.

In addition, the pair was being approached by the 100-hour simple moving average, which had surged above the 1.1080 level.

US ISM Non-manufacturing PMI

The European Common Currency appreciated against the US Dollar, following the US ISM Non-Manufacturing PMI survey results release on Wednesday at 15:00 GMT. The EUR/USD exchange currency rate gained 16 pips or 0.14% right after the release. The Euro continued trading at the 1.1090 level against the Greenback.

The Institute for Supply Management released the US ISM Non-Manufacturing PMI data, which came out worse-than-expected of 53.9 compared with the forecast of 54.5.

Anthony Nieves, the Chair of the Institute for Supply Management Non-Manufacturing Business Survey Committee commented: "The NMI registered 53.9 percent, which is 0.8 percentage points lower than the October reading of 54.7 percent. This represents continued growth in the non-manufacturing sector, at a slightly slower rate. According to the NMI, 12 non-manufacturing industries reported growth. The non-manufacturing sector had a slight pullback in November. The respondents hope for a resolution on tariffs and continue to be hampered by constraints in labor resources. "



Economic Calendar Analysis



On Friday, the US Employment data sets will be published at 13:30 GMT. The event consists of three numbers – Average Hourly Earnings, Non-farm Employment Change and Unemployment Rate. Since July, moves from 14.5 to 41.4 pips have been caused by the release.

Meanwhile, next week's scheduled event historical data tables have been published. Click on the link below to read the article.

EUR/USD hourly chart's review

On Friday, the rate traded above the support of a pivot point and the 55-hour SMA at 1.1093.

In theory, the rate should surge, as it had no technical resistance as high as the 1.1200 level. At that level, the pair would meet with a 38.20% Fibonacci retracement level.

On the other hand, the week is about to end. Next week, the weekly pivot points will be recalculated. Most likely one of the fresh pivot point would provide resistance to the pair.

Hourly Chart



On the daily candle chart, the rate trades above the support of the 100-day SMA, which was located at 1.1070.

Meanwhile, there is something more noteworthy on the daily candle chart. At the 1.1162 level the 200-day simple moving average was located at. It might stop any attempts of the rate to surge.

Daily chart


Traders remain short on EUR/USD

Since the middle of Thursday's trading session, on the Swiss Foreign Exchange 70% of open EUR/USD position volume was in short positions.

Meanwhile, pending trade orders were bearish, as 76% of orders in the 100-pip range were to sell and 24% were to buy. Previously, the orders were 66% to sell.

Traders are still waiting for a decline of the pair.

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