Economic Calendar Analysis
Notable events for this week are over. The CPI has set the tone for a USD decline.
EUR/USD hourly chart analysis
Resistance could be encountered in the weekly R3 simple pivot point at 1.0866 and the April high level resistance zone that surrounds the 1.0880 level. Higher above, the 1.0900 mark is bound to slow down the rate, before the 1.1000 is reached. However, note that the 1.0940, 1.0960 and 1.0980 levels acted as resistance in March.On the other hand, if the rate declines, look at prior resistance levels to turn into support. Note the weekly R2 at 1.0828 and the 1.0820 level. Below these levels, it appears that the 50, 100 and 200-hour simple moving averages could act as support. Further below, the 1.0800 mark and the weekly R1 are highly likely going to come into play.
Hourly Chart
EUR/USD daily chart's review
On the daily candle chart, the rate is above the resistance of the upper trend line of the pattern that captured the move of the last months. Moreover, the 50, 100 and 200-day simple moving averages were broken during the CPI release.Daily chart
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Dukascopy traders miss the move
On Monday, traders were 51% long on the pair. That proportion of all open Swiss Foreign Exchange positions was in bullish positions.
Meanwhile, pending orders in the 100-pip range around the pair were 57% to buy.
After the CPI publication traders were 57% short and orders were 52% to sell. It appears that traders missed the initial surge and were shorting in the expectations of a retracement down.