The mixed price movement seen in yesterday's New York session for the US dollar was influenced by several factors.
The release of US durable goods orders data for April recorded a lower -than -expected figure.
But the US dollar managed to strengthen early in the New York session as market sentiment was reassessed risky with reports of tensions between the US and China rising again.
US President Joe Biden said the US would help Taiwan's military defense to curb Chinese aggression into the country.
Towards the end of the New York session, the US dollar returned to a weak move following investor reactions to the published FOMC meeting minutes report.
On the price chart the EUR/USD pair yesterday has started to display a bearish pattern again after remaining bullish since the beginning of the week.
However, investors need to be vigilant after there are early signals for a change in the price trend that could push the price to decline lower towards the end of the week.
The price that came back below the 1.07000 level yesterday hit the level around 1.06500 in the New York session.
The decline also showed the price moving back below the Moving Average 50 (MA50) barrier on the 1 -hour time frame as a bearish signal.
However, the US dollar which weakened until the end of the session saw the price rise slightly again and test the 1.07000 level.
If the decline continues today, the price is seen to go down to the level of 1.06000 to test the RBS zone (resistance become support).
The next clearer bearish trend movement is seen to push the price back to the zone around 1.05000.
On the other hand if the price increase is still managed to be maintained until the end of the week, the price is likely to surpass the high reached last Wednesday at the resistance zone of 1.07500.
The target for a higher price increase is to head to the high zone at 1.08000 for the latest 4 -week high.
