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The pair opened the last week at 1.3743 and reached its monthly pivot point at 1.3815 on Tuesday. However, it bounced off this resistance level on Wednesday and kept depreciating over the last three trading days of the week. The Dollar dropped from its five-week high against the single currency on Friday as the U.S. non-farm payrolls release showed worse than expected data and the U.S. monthly unemployment rate was at 6.7% compared to the estimates for a fall to 6.6%. Even though the data worsened the market sentiment, it also gave a sign that the Federal Reserve would most likely stick to its current pace of tapering. The currency pair finished Friday's trading session at 1.3703 to post a weekly decline of 0.52%.
Dukascopy community members, who submitted their forecasts on the EUR/USD, hold a rather bearish view on the pair, as according to the average consensus forecast this Friday's closing price is set to be at 1.3694. At the moment of writing the EUR/USD pair was trading at 1.3805. Our community member ‘khalidamassi' made a forecast when the pair traded at its major support area at 1.367-1.371 and saw that playing a big role in the pair's further movements, whereas ‘Bruce' was in the opinion that EUR/USD is in the uptrend movement that would continue in the short term.
Daily technical indicators (MACD, Alligator, SAR) pointed at possible depreciation, while weekly indicators hold a more bullish view.
In the week ahead, markets will be focusing on German Trade Balance data on Wednesday, U.S. report on initial jobless claims on Thursday and American producer price inflation in the end of the week. Dukascopy Fundamental Analysis contest suggests that community members see German trade balance and consumer price index data releases having a rather positive impact on the EUR/USD pair.
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