As expected, the hourly simple moving averages managed to push the EUR/USD down. On Wednesday morning, the currency pair had already touched the 1.1000 level, which began to provide support.
In regards to the future, the decline is expected to continue. The hourly SMAs should catch up and provide resistance that would push the rate through the 1.1000 level.Economic Calendar Analysis
This week, US data is set to impact the EUR/USD currency exchange rate through the value of the US Dollar.
On Wednesday, at 13:30 GMT the US Consumer Price Index and Core Consumer Price Index are set to be published. The event has caused moves on the EUR/USD charts from 7.7 to 26.9 pips.
The US PPI and Core PPI data sets are scheduled to be released on Thursday at 13:30 GMT. This is a minor data release, but still worth taking into account due to the possibility of it creating a move above ten pips.
Since April 2019, the event has caused moves from 5.1 to 14.8 pips.
On Friday, the US Retail Sales data sets will be out at 13:30 GMT. The release has caused moves from 13.7 to 24.3 pips.
The week's reaction tables have been published. Take a look at the 11.11-15.11 Event Historical Reactions publication.
EUR/USD hourly chart's review
On Wednesday morning, the currency exchange rate touched the psychological support of the 1.1000 level. Future forecasts were based upon what would happen at that level.A decline could occur, as soon as the 55 and 100-hour simple moving averages approach the rate and provide technical resistance. The resistance would push the pair through the 1.1000 mark.
However, the SMAs could not reach the rate during the day. In that case the rate would trade sideways above the 1.1000 level.
Hourly Chart
On the daily candle chart, as expected, the rate did not manage to pass the resistance of the 55-day simple moving average.
On Wednesday, the rate had broken free from the resistance and no longer made attempts to pass it.
In the meantime, on the chart patterns have been added. It can be observed that at the 1.1000 level the pair has met with the lower trend line of a channel up pattern.
Daily chart
On Tuesday, on the Swiss Foreign Exchange 67% of open EUR/USD position volume was in short positions.
By the middle of Wednesday's trading 63% of volume was in shorts. It can be assumed that traders have been taking profits.
Meanwhile, pending trade orders were to mostly to buy, as 82% of orders in the 100-pip range were to buy and 18% were to sell. Previously, the orders were 81% bullish.
Traders continue to short the decline of the EUR/USD with close by take profits and stop losses.
Moreover, some intend to open long positions in the case of a reversal.