The United States Federal Reserve has just revealed that it will keep the Federal Funds Rate unchanged at 5.50%. The news caused a 0.15% drop of the US Dollar index from 107.00 down to 106.82. The event was followed by the press conference of the Chairman of the Federal Reserve Jerome Powell. His initial talk caused a boost of the USD. However the afterwards question and answers session crashed the USD.
Economic Calendar Analysis
On Friday, watch the US employment data release at 12:30 GMT. The release will consist of the US Average Hourly Earnings monthly change, Non-Farm Employment Change number and the official Unemployment Rate. This event could cause a notable US Dollar move.
In regards to next week, it appears that there are no pre-scheduled notable fundamental events that could impact the financial markets.
EUR/USD hourly chart
The EUR/USD surge could eventually aim at the combination of the weekly R1 simple pivot point at 1.0662 and the October 31 high levels at 1.0670/1.0675. Higher above, note that the 1.0700 mark is expected to impact the rate.In the case of a reversal of the current move, the rate would decline and look for support in the weekly simple pivot point at 1.0592 and the 50, 100 and 200-hour simple moving averages near 1.0580.
Hourly Chart
EUR/USD daily chart's review
On the daily candle chart, the 50-day simple moving average appears to be acting as resistance and strengthens the 1.0635/1.0695 zone.Daily chart
Read More: Technical Analysis
Traders are long
On Thursday, the Swiss Foreign Exchange traders were 53% in long positions.
Meanwhile, trader set up pending orders in a 100-point range around the current rate were 75% to sell the Euro against the US Dollar.