The currency pair seems undecided and continues to move within the short term range pattern. It's trading at 1.0814 at the time of writing. Personally, I believe that the US data could bring strong action on the EUR/USD pair. As you already know, I've talked about a potential sell-off after failing to take out the 1.0867 former high.
Fundamentally, the USD needs strong support from the US economy today to be able to appreciate. Still, the Unemployment Claims indicator could increase to 214K in the last week from 205K in the previous reporting period. Philly Fed Manufacturing PMI could come in better compared to the previous reporting period, while Building Permits and Housing Starts data will be released as well. Positive US data should lift the greenback.
EUR/USD Exit Its Range Soon?
You already know that the EUR/USD pair is trapped between the 1.0780 and 1.0867 levels. Today, it has rebounded but it has found supply right below the upper median line (uml). This line represents a dynamic resistance.
On the other hand, the weekly pivot point of 1.0780 and the former low of 1.0766 represents static support levels.
EUR/USD Outlook!
The bearish scenario is still valid, a bearish closure below 1.0766 activates more declines and brings new short opportunities. This scenario could take shape if the US data comes in better than expected today.
