By the middle of Tuesday's European trading hours, the currency exchange rate had reached the support of the 1.1875/1.1885 zone. Near term future forecast scenarios were based upon whether or not the zone holds.
Economic Calendar Analysis
Notable macroeconomic events will start on Wednesday. From 08:15 up to 09:00 the Markit Services and Manufacturing Purchasing Managers Indices would be released.
At 08:15 GMT the French PMIS could cause a move from 9.0 to 15.0 pips. At 08:30 GMT the German PMIs will be published. The German indices have caused moves from 10.4 to 41.5 pips since October 23.
Later on at 09:00 GMT, the Euro Zone PMIs are scheduled to be published. These data sets have caused minor moves from 7.0 to 13.0 pips.
On the same day, at 13:45 GMT the US Services and Manufacturing PMIS could cause moves from 6.7 to 26.4 pips.
On Thursday, the week will end for EUR/USD macro events, as the US Final GDP is set to be released on that day at 12:30 GMT. The event has caused moves from 6.4 to 31.9 pips since December 2019.
Click on the link below to find out more about the data releases of this and other currency exchange rates.
EUR/USD hourly chart's review
In the case of the 1.1875/1.1885 zone holding, the rate should recover. A possible recovery would test the resistance of the 55- hour simple moving average at 1.1910 and the 100 and 200-hour SMAs together with the weekly simple pivot point in the 1.1920/1.1930 zone. Afterwards, the 1.1935/1.1945 zone might be reachedOn the other hand, a possible decline below the zone would look for support in the weekly S1 simple pivot point at 1.1856.
Hourly Chart
EUR/USD daily chart's review
On the daily candle chart, the pair can be observed to be trading between the 1.2000 and 1.1900 levels. In the meantime, it has close by the support of the 200-day SMA and the resistance of the 100-day simple moving average.Daily chart
Read More: Technical Analysis
Sentiment changes
Since Wednesday, on the Swiss Foreign Exchange trader open positions were bullish, as 57% of open position volume was in long positions.
This Tuesday, the sentiment became 56% long.
Meanwhile, trader set up pending orders in the 100-pip range around the pair were 60% to buy the pair.