- SWFX market sentiment is 58% bullish today
- Pending orders in the 100-pip range are set to sell in 53% of cases
- No more data impacting this rate
On Thursday morning the EUR/USD had plummeted down to the 1.1480 mark. However, there the rate had found support and it was heading for the 1.1540 mark by the middle of Thursday's trading.
On Monday, the European Single Currency depreciated against the US Dollar, following the US Retail Sales data release on Monday at 12:30 GMT. The EUR/USD exchange currency rate lost 6 pips or 0.05% during a minute, right after the release. The European Single Currency kept going upwards after the data release to continue trading at the 1.1625 area.
The Census Bureau released US Retail Sales data that came out lower-than-expected of 0.1% compared with forecasted 0.7%.
Ellen Zentner, chief U.S. economist at Morgan Stanley in New York said: "Retail sales for food services and drinking places may have been impacted by the hurricane in September, as consumer confidence remained solid during the month, which in our view suggests underlying consumer demand should remain intact,".
No more data impacting the EUR/USD
For the rest of the week there will be no macroeconomic data releases that might influence the EUR/USD. Although, macroeconomic data release traders are still set to be active this week.
The data release with the biggest impact will be on Friday. The Canadian statisticians will publish the Canadian CPI and Core Retail Sales at 12:30 GMT.
The data release is expected to cause a sudden bounce in the USD of almost 80 base points.
EUR/USD short term review
The rate waits for a break-out during the trading session. On Thursday, most likely, the rate will go downwards to pass through the monthly S1 at 1.1482 but will be stopped by the weekly S1 at 1.1459 mark and the 50.00 % Fibo.On the other side, after the break-out, the rate might go upwards to push the rate to trade at the 1.1520 mark during the trading session.
Hourly Chart
On the daily chart one can observe that the rate is testing the lower trend line of a long term ascending channel pattern.
Meanwhile, note that the daily simple moving averages, which previously provided resistance to the currency pair have been left above the 1.1550 mark.
Daily chart
On Thursday, traders continued to hold mostly long positions, as 58% of all open positions on the Swiss Foreign Exchange were long. They had changed only by one percent since Tuesday.
Meanwhile, all of the traders have prepared pending trade orders, which might be executed in certain situations. All the take profits, stop losses, and position opening orders were set to sell in 51% of all cases.
In general, almost nothing has changed since Monday besides trader set up pending orders becoming almost neutral.