The pattern of financial market movement on Thursday changed slightly as the US dollar recovered from its decline since the opening of the week.
The US dollar recovery was driven by the US (US) manufacturing and services PMI report published yesterday with an increase in readings for May.
The same data reading for Germany in the European session showed a gloomy reading, indicating a different direction for the Euro.
Thus, a change in price direction was observed on the EUR/USD currency pair chart towards the end of this week.
Last Wednesday, the continued increase in price reached a height of 1.13600 and began to show a downward pattern again on Thursday.
The price dropped below the 1.13000 zone again and also moved below the Moving Average 50 (MA50) resistance line on the 1-hour timeframe on the EUR/USD chart, indicating an early signal of bearish movement.
The daily low was reached around 1.12600 before the price slowly resumed its upward trend in the Asian session this morning (Friday) and crossed 1.13000 again.
The price attempted to break through the MA50 barrier before indicating that the upside potential is still there, but investors are wary of the uncertainty in trading towards the final sessions.
If the rise continues, last Wednesday's high will be attempted to be overcome before the price records a new 3-week high.
The target for a higher increase is towards 1.14000 as the next focus zone.
However, if the price is pushed back below the 1.13000 zone, the tendency is for a bearish movement to occur.
The price could decline again until it approaches around last week's focus level at 1.12000.
