Investors were presented with the strengthening momentum of the US dollar over the weekend as the US currency strengthened against other major currencies in the market.
Key Wall Street market indices suffered losses and gave signals as risky market sentiment supported the strengthening of the US dollar as a safe-haven currency.
The US dollar will also be supported by the sentiment of the $ 1.9 trillion aid package approved by the House of Representatives which will support the surge in the US economic recovery.
On the EUR / USD pair price chart, last week's high reached a high of 1.22400 before the price plunged drastically again to fall below the 1.21000 level.
In the New York session before last week's trading ended, the price had plunged to the support zone at 1.20600.
Continuing trading at the opening of this week in the Asian session, prices rose slightly but slowed again after failing to pass the 1.21000 level.
With the bearish trend displayed, investors will expect a lower fall in the EUR / USD chart this week.
A lower decline in prices is seen to lead to the support level at 1.20000.
On the other hand, in the event of a price increase, the resistance zone at 1.21500-1.21800 will be re-tested as well as the Moving Average 50 (MA50) barrier level within the 1 hour time frame of the price movement.
With the signal of a reversal to the bullish trend, the price will jump back to the highs reached last week.
Investors will be wary of US dollar trading in particular heading into the weekend ahead of the US NFP employment data report which will be the main focus of investor data.
