The Euro has taken the lead again and drives the price higher on the short term. Remains to see what will happen in the upcoming period because the price moves in range. Technically is somehow expected to drop on the short term, but is premature to say what will happen until we’ll have a fresh trading signal.
Price increased as the USDX has slipped lower despite the positive US data. Maybe the dollar index has come down only to retest a broken dynamic resistance before will really start a larger rebound.
The USDX moves sideways, this could represent an accumulation and could give birth to a reversal on the Daily chart.
The Euro-zone Flash Manufacturing PMi surged from 57.4 points to 58.2 points, beating the 57.2 estimate, while the Flash Services PMI increased from 54.7 points to 55.6 points, beating the 54.7 forecast. Moreover, the German Flash Services PMI increased from 53.5 points to 55.6 points, exceeding the 53.8 estimate, while the German Flash Manufacturing PMI jumped to 60.6 points, more above the 59.0 estimate. The expansion continues in the French manufacturing and services sectors as the Flash Manufacturing PMI increased from 55.8 to 56.0 points while the Services PMI resumed the uptrend, was reported at 57.1 points, much above the 54.8 estimate.
Price has increased after another failure to reach the median line (ml) of the minor descending pitchfork and was almost to hit the upper median line (uml). Is moving in range right now and could develop a minor symmetrical triangle. EUR/USD slipped lower in the last hours, a failure to retest the upper median line (uml) will confirm a minor drop towards the median line (ML) of the ascending pitchfork. The perspective is bearish on the lower timeframes as long as the rate is trading within the descending pitchfork.
Only a valid breakout above the upper median line (UML) and above the 1.2042 static resistance will confirm a further increase in the upcoming period. You should know that the perspective remains bullish as long as the rate is trading within the ascending pitchfork.