- SWFX market sentiment is 58% bullish today
- Pending orders in the 100-pip range are set to sell in 55% of cases
- Next notable data will be on Friday
The EUR/USD has continued its path downwards after reaching out to the resistance of the 1.16 mark. Although, note that on Thursday morning the pair met with a 50.00% Fibonacci retracement level at 1.1460, which forced the pair into a rebound.
The European Single Currency depreciated against the US Dollar, following US ADP Non-Farm Employment Change data release on Wednesday at 12:15 GMT. The EUR/USD exchange currency rate lost 5 pips or 0.05% during a minute, right after the release. In the next minutes the rate was trading at the 1.1540 level.
The Automatic Data Processing, Inc. released the US ADP Non-Farm Employment Change data that came out better-than-expected of 230K , compare to forecasted 185K.
Ahu Yildirmaz, vice president and co-head of the ADP Research Institute said: "The labor market continues to impress. Both the goods and services sectors soared. The professional and business services industry and construction served as key engines of growth. They added almost half of all new jobs this month."
Thursday will be empty for macroeconomics
All traders should note that on Friday at 12:30 GMT the US employment data sets like the Employment Change and Average Hourly Earnings will be published. By some financial media this event is seen as the most important of them all.
The data release cover will begin on the bank's webinar platform at 12:20 GMT. Click on the link below or the notification on the JForex 3 platform to join the webinar.
EUR/USD short term review
During Thursday's session, the European Single Currency will trade sideways due to the resistance of the monthly S1 and the weekly S1, together with the support of the 50.00% Fibo at 1.1460 mark. Most likely, the rate will trade at the 1.1500 mark during the session.On the other side, the rate might break the weekly S1 at 1.1511 level to trade near the 1.1520 mark during the day.
Hourly Chart
The previously drawn speculative ascending pattern has held its ground. Namely, its lower trend line was providing support to the EUR/USD since Wednesday's trading session.
From the daily charts perspective, if the EUR/USD breaks the resistance of a pivot point at 1.1510, the currency rate will jump back up to the 1.1600 mark, where it would be met by the 55-day simple moving average. br>
Daily chart
Since Tuesday, 58% of Swiss Foreign Exchange Traders were long. Most likely they bought the EUR/USD, when it hit the support levels at 1.15.
Meanwhile, all of the traders have prepared pending trade orders, which might be executed in certain situations. All the take profits, stop losses, sell and buy orders were set to sell in 58% of all cases.
If these orders would get filled, the EUR/USD would break through the previously mentioned support levels.