By the middle of Friday's trading, the rate had almost touched the 1.1030 level. Moreover, the decline had made two attempts to recover that were stopped by resistance levels near 1.1060. The failed attempts signalled that the decline could continue.
Economic Calendar Analysis
There are no more events scheduled for this week that might impact the EUR/USD currency exchange rate.
Next week, on Tuesday, minor spike in volatility could occur due to the US Durable Goods Orders Release at 13:30 GMT. This event has caused moves on the EUR/USD charts from 5.1 to 15.1 pips since July 2019.
On Wednesday, the US Federal Funds Rate is scheduled to be published at 19:00 GMT. The event has caused EUR/USD moves from 14.8 to 53.6 pips.
Note that the largest moves occurred during rate cuts. This time, no rate cut is expected. Due to that reason a move of around 15 pips can be expected.
On Thursday, the US Advance GDP publication at 13:30 GMT is set to occur. The event has caused moves from 11.7 to 35.3 pips since October 2018.
Next week's event historical data tables have been published. Click on the link below to read the article.
Read More: 27.01-31.01 Event Historical Reactions
EUR/USD hourly chart's review
By the middle of Friday's trading, the rate was testing the support of the weekly S2 pivot point at 1.1030. If this level gets passed, the rate would have no technical support to stop a decline as low as 1.0975.However, it is highly likely that the psychological impact of the 1.1000 level would stop a decline, as it did in November.
On the other hand, the rate has left behind it the hourly simple moving averages, which signals that the rate is oversold. Due to that reason it is also possible that the currency exchange rate trades sideways to consolidate its recent decline.
Hourly Chart
As described on Thursday, the rate has broken out of the squeeze of the 55 and 100-day simple moving averages. The rate has broken out downwards.
In the near term future, the daily simple moving averages are expected to provide resistance and stop the rate's attempts to recover..
Daily chart
Read More: Technical Analysis
Traders are still short on EUR/USD
Since the middle of Thursday's London trading hours, 59% of open EUR/USD position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, set up pending orders were bullish, as 55% of orders in the 100-pip range were to buy and 45% were to sell.