Although limited, the US dollar is still showing a recovery pattern as market sentiment is recovering from previous concerns.
President Donald Trump signaling openness to joint negotiations with China is seen to ease tariff war tensions.
In addition, news of Trump withdrawing his threat to fire Federal Reserve (Fed) Chairman Jerome Powell also eased internal conflicts in the country.
In addition, US (US) manufacturing and services PMI data showed readings above the 50 point level for both sectors for April.
Examining the EUR/USD currency pair chart, the price has shown a change in direction since last Tuesday after retreating from the 3-year high reached.
In the Asian session on Wednesday, the price approached 1.13000 before rebounding to exceed 1.14000 in the European session.
The price then retreated from the zone and continued its decline towards the 1.13000 zone again at the end of the New York session.
Continuing the opening of the Asian session this morning (Thursday), the price rebounded slightly but still moved below the Moving Average 50 (MA50) resistance line on the 1-hour time frame on the chart which maintained a bearish signal.
If the downtrend is maintained, the current support zone at 1.13000 will be broken before the price drops lower beyond last week's trading.
The next target is at 1.12000 to 1.11000 for the price to continue to decline.
On the other hand, if the 1.13000 zone manages to contain the fall and the price bounces back strongly, the resistance is at the 1.14000 zone to be broken.
Breaking through 1.14000 and the MA54 barrier could trigger a signal for a bullish movement of the price before the highs at the beginning of the week will be challenged again.
