The US dollar is seen to still maintain its strengthening yesterday at the highest level in 1 month, but is seen to be a little gloomy towards the end of trading in the New York session.
The United States (US) published positive retail sales data further reduced expectations for the Federal Reserve (Fed) to lower interest rates in the near term.
If the situation continues, the US dollar is able to maintain its recovery after the poor performance exhibited at the end of 2023 trading.
On the chart of the EUR/USD currency pair, the price moved slowly but recorded a decline to a new low for the 5-week trading period.
Touching a low of around 1.08450, the price has bounced back and continued its gains in the Asian session this morning (Thursday) to around 1.09000.
The price increase is slow, but is seen to have crossed the Moving Average 50 (MA50) barrier on the 1-hour time frame on the chart, giving an early signal for a bullish movement.
If the move higher successfully continues, the price will head back to the concentration zone at 1.10000 before.
In the weeks already, several times the price was seen testing the 1.10000 resistance but still failed to break through.
Investors remain alert for the expectation that price declines will continue further towards the end of the week.
If the price falls flat, the focus is for the price to reach around the 1.08000 level and continue to record the latest low.
