The Euro depreciated against the US Dollar, following the FOMC Statement release on Wednesday at 19:00 GMT. The EUR/USD exchange currency rate lost 43 pips or 0.36% after the release. The Euro continued trading at the 1.2200 level against the Greenback after the release.
According to the official release: "The Federal Reserve will continue to increase its holdings of Treasury securities by at least $80 billion per month and of agency mortgage-backed securities by at least $40 billion per month until substantial further progress has been made toward the Committee's maximum employment and price stability goals."
Economic Calendar Analysis
There are no more notable events for the EUR/USD this week.
The week of Christmas is set to have an early market closing on Thursday in many countries and reduced liquidity due to people being on holidays. However, there are still four noteworthy data sets being released in the days before people are off from work.
All of the data releases of the week are scheduled to occur on 13:30 GMT.
Namely, on Tuesday, the US Final GDP could cause volatility. On Wednesday, Canadian statisticians will publish their monthly GDP data.
Last but not least, on Thursday, the US Durable Goods Orders and Core Durable Goods Orders data will be released.
Click on the link below to find out more about the data releases of this and other currency exchange rates.
EUR/USD hourly chart's review
On Thursday, the EUR/USD currency pair raised to the resistance level—the weekly R3 at 1.2277.If the predetermined resistance level holds, the exchange rate could reverse south in the short run. In this case the rate could decline to the support level formed by the weekly R1 at 1.2170.
Meanwhile, the currency pair could gain support from the weekly R2 and the 55-hour SMA near 1.2220. Thus, the pair could trade sideways within the following trading session.
Hourly Chart
On the daily candle chart, the currency exchange rate continues to surge in the borders of a channel up pattern. The resistance of the ascending pattern was located at the 1.2300 mark. Namely, the pair could reach for this level.
In the meantime, note that the 2018 high level of 1.2528 is marked on the chart, as a 0.00% Fibo. It is connected with the 2017 low level.
Daily chart
Read More: Technical Analysis
Traders are short
On Thursday, on the Swiss Foreign Exchange trader open positions were bearish, as 60% of open position volume was in short positions.
On Thursday, the sentiment was 61% short.
Meanwhile, trader set up pending orders in the 100-pip range around the pair were 59% to sell the pair.