On Wednesday, the EUR/USD currency pair traded sideways, testing the support level—the weekly S1 at 1.1080. During today’s morning, the pair maintained its consolidation.
Note that the exchange rate is pressured by the 55-, 100– and 200-hour moving averages, currently located circa 1.1100. Thus, some downside potential could prevail in the market. The rate could reach the psychological level at 1.1050.
It is unlikely that bears could prevail in the market within the following trading session, and the Euro could exceed the weekly PP at 1.1117 against the US Dollar. However, note that the pair could be affected by the US Prelim GDP data release at 12:30 GMT.
