The EUR/USD started the week by trading sideways near the 1.0800 level. However, the consolidation was about to end, as the rate was approached by the resistance of the 55-hour simple moving average near 1.0840.
In theory, the SMA should push the rate down. In the case of a decline, the pair could look for support in the 1.07500 mark.
US Employment data
The Euro depreciated against the US Dollar, following the US Employment data set release on Friday at 12:30 GMT. The EUR/USD exchange currency rate lost 28 pips or 0.26% after the release. The Euro continued trading at the 1.0790 level against the Greenback after the release.
The Bureau of Labor Statistics released the US Unemployment Rate data, which came out worse-than-expected of 4.4% compared with the forecast of 3.8%.
According to the official release: "In March, the unemployment rate increased by 0.9 percentage point to 4.4 percent. This is the largest over-the-month increase in the rate since January 1975, when the increase was also 0.9 percentage point. The number of unemployed persons rose by 1.4 million to 7.1 million in March. The sharp increases in these measures reflect the effects of the coronavirus and efforts to contain it."
Economic Calendar Analysis
EUR/USD hourly chart's review
On Friday, the EUR/USD currency pair consolidated in the 1.0800 area. During today's morning, the pair maintained its consolidation.Hourly Chart
By the middle of Friday's GMT trading hours, 70% of open EUR/USD position volume on the Swiss Foreign Exchange was in short positions.
The sentiment had remained almost unchanged since March 20. Traders remained short despite the recovery of the EUR/USD that has been occurring since that day.
On Monday, it changed, as 74% of trader open position volume was in short positions.