On Wednesday, the EUR/USD currency pair extended sideways movement around 1.1800 after the latest US data. The currency pair trades within an ascending channel formation in the 60-minute chart. 

The pair continues to trade a few levels above the 100-hour moving average line. However, the currency pair still has plenty of room left to run before reaching the overbought levels of the 14-hour RSI.

EUR/USD Fundamentals Overview

From a fundamental perspective, the EUR/USD currency pair trades during a relatively busy period in both markets. On Wednesday, the EU’s seasonally-adjusted industrial production for May outperformed the (MoM) forecast of 0.3%, with a change of 0.4%. The (YoY) equivalent also outshone the forecast of -1%, with a change of -0.6%.

Earlier in the week, Germany’s wholesale price index for March also came in better than expected, with 2.7% versus a forecast of 0.4%. Looking forward, traders will be waiting for the EU’s harmonized index of consumer prices and the core harmonized index of consumer prices data for March on Thursday.

In the US, the export price index for March outperformed the expectation of 1.5%, with a change of 1.6% (MoM). On the other hand, the import price index for the month missed the forecast of 2%, with a change of 0.8% (MoM).

The NY Empire State Manufacturing Index for April exceeded the expectation of -0.5, with a reading of 11, up from -0.2. The NAHB housing market index for the month missed the estimate of 37, with a reading of 34, down from 38 in March.

EUR/USD Technical Analysis (the 60-min Chart)

Technically, the EUR/USD currency pair trades within an ascending channel formation in the 60-minute chart. However, the 14-hour RSI still has room left to run before reaching overbought conditions. 

Therefore, the bulls will look to extend the current rally towards 1.1866 or higher to 1.1923. On the other hand, the bears will look to pounce on pullbacks at about 1.1734 or lower at 1.1677.

EUR/USD Technical Analysis (the Daily Chart)

In the daily chart, the EUR/USD currency pair has recently completed an upward breakout from a descending channel formation. The 14-day RSU also supports a bullish bias as it edges closer to overbought conditions.

Therefore, the bulls will look to stretch the latest rebound towards 1.1955 or higher to 1.2083. On the other hand, the bears will look to pounce on pullbacks at about 1.1651 or lower at 1.1510.