The EUR/USD has traded in the last 24 hours exactly as described in the first scenario on Thursday. Namely, the rate surged to the upper trend line of a descending channel pattern and bounced off it.
The event resulted in a sharp decline that was followed by sideways trading consolidation. The consolidation ended on Friday morning and the decline was resumed, as the rate fell below the 1.1100 level.
In regards to the near term future, the rate was heading to the 1.1070 level.
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EUR/USD hourly chart's review
On Friday morning, the rate ended sideways consolidating and began a decline. The rate was heading to the support of the descending channel pattern, which was located at the 1.1070 level.Hourly Chart
By the middle of Thursday's trading session on the Swiss Foreign Exchange 70% of open EUR/USD position volume was in short positions.
Some traders took profits during the decline, as on Friday 67% of open position volume was in short positions.
On Friday, trader set up pending orders in 100-pip range around the pair were neutral, as 53% of all orders were set to sell and 47% were to buy.