The assessment of the growth of the United States (US) economy through the reading of Gross Domestic Product (GDP) data for the first quarter was more gloomy on the issue in the New York session yesterday.
The second GDP reading recorded a lower figure than the initial reading published last month.
This continued to push the weak movement for the US dollar to continue yesterday as market sentiment factors recovered slightly after major Wall Street indices recorded their biggest weekly gains since mid-March.
Examining the price movement on the chart of the EUR/USD currency pair, the price returned to display a bullish pattern yesterday after the price decline occurred in last Wednesday's trading.
The bullish movement indicator was digested by investors after the price moved back above the 1.07000 level and passed the Moving Average 50 (MA50) barrier on the 1 -hour time frame on the EUR/USD chart.
The rise in prices is seen to continue at the beginning of the Asian session this morning (Friday) surpassing the highs reached last Tuesday.
The latest highs for the 4 -week period will be recorded with the target for higher price increases going towards the focus zone at 1.08000.
On the other hand, in the event of a further decline, the price falling back below the 1.07000 level will signal a bearish trend change.
A further decline will test the support level around 1.06500 before continuing the decline towards the RBS zone (resistance become support) at 1.06000.
