The support of the weekly S1 at 1.3224 has been reached by EUR/USD.
The rate initially bounced off the support level. Although, by the middle of the Tuesday's trading session another attempt to pass the support level.
Notable macroeconomic data releases start on Wednesday
This week is set to be the first one of the month. Due to that reason it is set to have important data releases occurring.
The notable data releases that Dukascopy Analytics will cover will start on Wednesday. At 13:30 GMT the Canadian Trade Balance will be published and cause a notable move on all CAD pairs.
Moreover, at 15:00 GMT the Bank of Canada will publish their Overnight Rate, which has on average caused moves around 80 base points on the USD/CAD.
On Thursday, all attention will be on the European Central Bank. The bank will publish its Main Refinancing Rate at 12:45 GMT and host a press conference at 13:30 GMT.
The rate announcement has become insignificant, as the ECB keeps their rate at 0.00%. Instead during the press conference the heads of the bank will reveal information about the ECB's asset buying program.
On Friday, Canada and the US will publish their monthly employment data sets. It has five important data sets impacting the USD/CAD. It is the most complicated one to work with, as each data set impacts the rate differently.
For more information watch the weekly calendar analysis stream on our YouTube channel.
Click Here: Economic Calendar Analysis
EUR/USD hourly chart's review
On Tuesday, the EUR/USD stood at the support of the weekly S1 at 1.1325. The near term future scenarios are based on what happens next in regards to this level.If the support level gets passed, the rate should surge down to the 1.1280. At that level the closest support is located at. Namely, the weekly S2 is at that level.
On the other hand, the rate might bounce off the weekly S1 and surge up to the hourly simple moving averages, which are located from 1.1350 to 1.1365.
Hourly Chart
On the daily chart additional information can be seen. Namely, the 55 and 100-day simple moving averages were located near the 1.1390 level. The two levels were providing resistance to the currency pair.
Daily chart
Read More: Technical Analysis
Short open position volume remains intact
Since Monday, on the Swiss Foreign Exchange of the total open position volume 73% was short on EUR/USD.
In the meantime, trader set up pending orders in the 100-pip range had become neutral. By the middle of day's trading the orders where balanced 50/50.
Due to that reason it is assumed that additional selling will not occur and that the short positions don't have close by stop losses and take profits.