EUR/USD (a 4-hour chart)
The dollar strengthened when the latest FOMC minutes reaffirmed investors’ expectations of a Fed rate-hike in the current year.
The EUR/USD opened on a stronger note on Thursday. The price retreated from the current low at 1.1000 and recovered to 1.1040 in the Asian session. The U.S. currency returned control of the flows in early Europe trade. The euro gave up its recent gains and declined. The EUR/USD moved downwards and pierced the level 1.1000. The price failed to move lower, the EUR/USD bounced from the three-month low mark at 1.0990 and reversed some of its losses post-European open. The moving averages maintained their decline in the 4 hours chart. The resistance comes in at 1.1050, the support stands at 1.1000.
MACD remained in the negative area. MACD grew which indicates the sellers’ positions weakening. The MACD shows a convergence in the 1 hour chart. RSI indicator is holding near oversold levels.
If the price makes another attempt and this time consolidates below the 1.1000 support area then we could see a decline towards 1.0950. The next sellers' target is the level 1.0900. The EUR/USD may extend its recovery towards 1.1100.