The EUR/USD has decreased today and has managed to resume the yesterday’s bearish candle, has reached new lows, ignoring the 1.0854 yesterday’s low. The Euro has dropped on the mixed Euro-zone data, but has squeezed a little as the United States figures have disappointed a little in the afternoon.
The dollar has increased as the USDX is struggling to increase, is still challenging the 99.12 former support, only a valid breakout above this level will confirm a further increase on the short term, we’ll see what will happen because is still under pressure. The index has found temporary support, could develop a Falling Wedge pattern, but is premature to say what will happen because behavior is still unchanged.
The Euro has dropped even if the European Central Bank has maintained the Minimum Bid Rate steady at the historical minimum (0.00%), matching expectations, the ECB Press Conference has brought some selling pressure. The European currency has taken a hit also from the Spanish Unemployment Rate, which has increased unexpectedly, from 18.6% to 18.8%, even if the estimate was 18.6%. The German Prelim CPI rose by 0.0%, beating the -0.1% estimate, while the Gfk German Consumer Climate increased from 9.8 to 10.2 points, but the Euro wasn’t impressed.
The dollar has increased even if the Unemployment Claims have increased from 243K to 257K in the previous week, even if the economists have predicted a drop to 241K, while the Core Durable Goods Orders dropped by 0.2% in March, even if the traders have expected to see a 0.4% growth. The Durable Goods Orders have surged only by 0.7%, less versus the 1.5% estimate, while the Goods Trade Balance fell from -63.9B to -64.8B, but less versus the -65.2B estimate.
The US Pending Home Sales have disappointed as well today, the indicator has dropped by 0.8%, more compared to the -0.6% estimate, actually has plunged versus the 5.5% growth in the previous reporting period. The greenback has received a helping hand from the Prelim Wholesale Inventories, the indicator has dropped by 0.1%, even if the economists had expected a 0.3% increase.


Has dropped after the failure to jump above the potential Rising Wedge upside line, has failed also to reach the second warning line (WL2) of the major descending pitchfork, we could have a selling opportunity if the rate will test this level an will be rejected. The rate has lost the bullish momentum exactly when to approach and reach also the lower median line (lml) of the ascending pitchfork, the bulls are exhausted on the short term, but the perspective remains bullish as long as the rate is trading above the warning line (wl1). We'll have a larger drop only if the Rising Wedge pattern will be confirmed.


Could still climb to reach and test the warning line (WL2) of the major descending pitchfork, we'll have a great selling opportunity from there if will fail to break above this dynamic resistance.

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