Economic Calendar Analysis
At the start of 2024, notable events start on Wednesday. At 15:00 GMT, watch the Institute for Supply Management Manufacturing Purchasing Managers Index survey results and the JOLTS Job Openings number. Note that the two releases could cause a major impact, if both shows either better or worse than expected data.
On the same day, some impact could be created by the publication of the Federal Reserve Open Market Committee Meeting Minutes publication. The Meeting Minutes are a protocol of the US monetary policy maker's last meeting. It can reveal additional information on future US base interest rate policy.
On Thursday, the US ADP Non-Farm Employment Change is capable of impacting the markets. The Automatic Data Processing released number usually is a good indicator of what the US government data will show, as it occurs prior to the official publication of employment numbers. The event is scheduled for 13:15 GMT.
On Friday, the US monthly employment data sets will be published. The event is scheduled for 13:30 GMT.
They are bound to impact the financial markets via the value of the US Dollar. Namely, good data reveals that inflation might return and the Fed would have to keep rates high or even cut. This would cause a surge of the Dollar. On the other hand, bad data would weaken the USD, as the Fed can cut rates.
EUR/USD hourly chart analysis
A move below the 1.0930 level could result in the pair looking for support in the 1.0900 mark, before reaching the 1.0880/1.0890 range and the weekly simple pivot point at 1.0881.In the case of a potential recovery of the Euro against the US Dollar note the potential resistance of the 50, 100 and 200-hour simple moving averages and the 1.1000 mark.
Hourly Chart
EUR/USD daily chart's review
On the daily candle chart, the 1.1070/1.1100 high level range did not turn into support. Meanwhile, an examination of the chart reveals that there is additional support below the 1.0900 mark in the form of the lower trend line of the channel up pattern and the 50 and 200-day simple moving averages.Daily chart
Read More: Technical Analysis
Traders are shorting
On Wednesday, traders were 66% short, as more expected a decline.
Meanwhile, pending orders in the 100-pip range around the pair were 55% to sell.