EUR/USD (a 4-hour chart)
The EUR/USD traded lower on the back of the renewed speculation that the Fed will hike the rate this year. The euro weakened despite positive ZEW Surveys.
The euro remained vulnerable on Wednesday. The single European currency extended its losses below 1.1070 and approached the lowest level since July 27. The 50, 100 and 200 EMAs extended their decline, currently around the 1.1150 region. The 50 and 100 EMAs crossed the 200-EMA downwards in the 4 hours chart. The resistance comes in at 1.1070, the support stands at 1.1000.
MACD remained in the negative area. The MACD histogram decreased which indicates the sellers’ strength. RSI indicator held near oversold levels.
The EUR/USD is oversold short term. The pair approached the critical 1.1000 figure during the European trades. If the price breaks the level 1.1000 it may extend its losses towards 1.0960. In case of recovery, we will see the EUR/USD pair growing towards the 1.1100-1.1120 region.