The recovery that started after the bounce off from the 1.1200 level continued on Thursday, as the rate reached the 1.1244 level during the morning hours.
In general, the rate was expected to test the 100-hour simple moving average at 1.1244 and a monthly pivot point at 1.1250.
The European Common Currency depreciated against the US Dollar, following the US Retail Sales data release on Tuesday at 12:30 GMT. The EUR/USD exchange currency rate lost 13 pips or 0.11% right after the release. The Euro continued trading at the 1.1215 level against the Greenback.
Census Bureau released the US Retail Sales data, which came out better-than-expected of 0.4% compared with the forecast of 0.1%.
According to the Commerce Department, last month households increased purchases of motor vehicles and a range of other goods. This advance indicates strong consumer spending, which could contribute to the US economy.
No more events for the EUR/USD
The EUR/USD this week was affected only by one macroeconomic data release.
Namely, the US Retail Sales and Core Retail Sales that were published on Tuesday at 12:30 GMT
In general, wait for the next Economic Calendar Overview on Monday to see next upcoming events. On the other hand, take a look at other this week's events described in this week's video.
EUR/USD hourly chart's review
On Thursday morning, the EUR/USD was located between the resistance of the 100-hour simple moving average at 1.1243 and the support of the 200-hour SMA at 1.1238. The rate was expected to break out from the squeeze soon.If the rate breaks the resistance of the 100-hour SMA, it will test a monthly pivot point at 1.1250.
In a second scenario the currency pair might pass the support of the 200-hour simple moving average. In that case the 55-hour SMA would be reached near the 1.2225 mark.
Hourly Chart
On the daily candle chart, the recent decline is consistent with the on Monday added medium term descending channel pattern.
In accordance with the pattern the currency exchange rate should fall below 1.1200 and reach down to the lower trend line of a larger pattern above 1.1180.
The most recent aspect to mention is the fact that the 55-day simple moving average on Thursday was providing resistance to the currency exchange rate at 1.1243.
Daily chart
Since Monday, 71% to 72% of open EUR/USD position volume on the Swiss Foreign Exchange was in short positions. Only slight fluctuations of the sentiment had taken place.
Meanwhile, trader set up pending orders in 100-pip range around the pair were bearish, as 58% of all orders were set to sell and 42% were to buy.