The performance of the US dollar continued to decline in trading on Thursday last night, in contrast to the reaction to inflation data from the United States (US) published last Tuesday which was significantly stronger.
This failed momentum has given room for other major currencies to steal the opportunity to recover from the previous pressure.
Likewise, the Euro has risen again after falling to a 13-week low due to being hit by the 'rampage' of the US dollar.
On the chart of the EUR/USD currency pair, it can be seen that the price has displayed a resurgence from the 1.07000 level after testing the support level.
After crossing the 50 Moving Average (MA50) obstacle line on the 1 hour time frame on the chart last night, investors have considered bullish signals for price increases to continue.
The increase was then shown until the price reached a high of 1.07800 before slowly ending the New York session trading around that.
Price movements continue to slowly resume trading at the start of the Asian session this morning (Friday) with the expectation that overnight upward patterns will continue.
If the price increase continues, it is seen that it will test the SBR (support becomes resistance) zone at 1.08000 which is getting closer.
If the price manages to break through this important zone, an increase higher can be expected before continuing to target the 1.09000 zone.
On the other hand, if the price increase fails to continue and then shows a decline again, it is possible that the price may fall back below the MA50 line before testing the support level of 1.07000.
A break lower to the downside will be a bearish signal for the price which is about to record a new 15-week low.
