Economic Calendar Analysis
After the Fed's decision, on Thursday, the European Central Bank is set to reveal its Main Refinancing Rate at 12:15 GMT. Currently, the ECB is expected to hike from 3.50% up to 3.75%, despite some policymakers insisting on 0.50% increase.
Just like Jerome Powell, the President of the European Central Bank Christine Lagarde is set to host a press conference at 12:45 GMT. In the case of the ECB, the Press Conference almost always reveals future direction of the Euro.
On Friday, watch the US monthly employment data sets at 12:30 GMT. The data release is going to consist of the Average Hourly Earnings, Non-Farm Employment Change and Unemployment Rate.
EUR/USD hourly chart
If the Euro strengthens during the upcoming ECB rate hike, the pair could reach above 1.1095 and 1.1100. In this case scenario the pair might be slowed down by the 1.1160 level and the weekly R2 simple pivot point at 1.1157. Higher above, note the 1.1200 mark and the weekly R3.On the other hand, a decline of the pair could look for support in the 1.1040 and 1.1020 levels and the weekly simple pivot point at 1.1024. Meanwhile, the 50, 100 and 200-hour simple moving averages could act as support near 1.1000. Further below, note the 1.0965 and 1.0940 levels.
Hourly Chart
EUR/USD daily chart's review
On the daily candle chart, the pair has broken the channel up pattern, which has guided the rate up since early March. In general, the breaking occurred via sideways trading as the markets waited for the US Fed and European Central Bank rate announcements.Daily chart
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Traders are shorting
After the Fed Rate hike, trader open positions were bearish, as 67% of open position volume was in short positions.
Meanwhile, trader set up pending orders in the 100-pip range around the pair were 72% to sell the Euro against the USD.