The EUR/USD currency pair on Wednesday pulled back off the day’s session highs of about 1.0569 to trade at about 1.0542. The currency pair continues to trade within a gently ascending channel formation in the 60-min chart.

However, the currency pair still remains several levels below the 100-hour moving average line. As a result, the pair still trades closer to the oversold levels of the 24-hour RSI.

EUR/USD Fundamentals Overview

From a fundamental perspective, the EUR/USD currency pair is trading at the back of a relatively busy period in both markets. On Wednesday, German retail sales for January missed the expected (MoM) change of 2% with a change of -0.3%. The (YoY) equivalent also fell short of the forecasted change of -6.1% with a change of -6.9%.

Elsewhere, the EU gross domestic product for Q4 missed the expected (YoY) change of 1.9% with a change of 1.8%. The (QoQ) equivalent matched the estimated change of 0%. Earlier in the week, EU retail sales missed both the (MoM) and (YoY) estimates of 1%  and 1.9%, respectively with 0.3% and -2.3%.

In the US, the ADP Employment change for February beat the expected job count of 100k with a tally of 242k. On the other hand, the goods and services trade balance for January outshone the forecasted figure of $-68.9 billion with a figure of $-68.3 billion. Traders will be looking forward to Thursday’s initial jobless claims ahead of Friday’s nonfarm payrolls.

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

Technically, the EUR/USD currency pair appears to be trading within a slightly ascending channel formation. This indicates a slight short-term bullish bias in the market sentiment. 

Therefore, the bulls will be looking to ride the current run of gains toward 1.0569 or higher to 1.0592. On the other hand, the bears will be looking to pounce on pullbacks at about 1.0524 or lower at 1.0499.

EUR/CHF Technical Analysis (the Daily Chart)

In the daily chart, the EUR/CHF currency pair appears to be trading within a descending channel formation. This indicates a significant long-term bearish bias in the market sentiment.

Therefore, the bears will be looking to stretch the current run of declines toward 1.0434 or lower to 1.0321. On the other hand, the bulls will be targeting long-term profits at about 1.0685 or higher at 1.0808.