An interesting movement was displayed by the US dollar currency in the trading session of New York yesterday when reacting to the published data.
At the beginning of the session, the US dollar weakened for a while after the ADP employment data came in with lower figures than the forecast and the previous month.
However, the king of the currency showed a strengthening after the ISM survey data of the United States (US) service sector was also published with figures that rose to the highest level since August last year.
The situation is seen as increasingly difficult for the Federal Reserve (Fed) for their monetary policy-setting decisions with mixed indications.
While the European Central Bank (ECB) is expected to lower interest rates by 25 basis points at its meeting later tonight, following in the footsteps of the Bank of Canada (BOC) which lowered interest rates at yesterday's meeting.
Examining the price chart of the EUR/USD currency pair yesterday, the price first rose to the level of 1.08900 before falling back to around 1.08550.
The decline was not extended when the price bounced back at the closing trade of the session before a bullish pattern was exhibited in the Asian session this morning (Thursday) towards the 1.09000 zone again.
If the resistance zone is successfully crossed, a further increase will be expected for the price to record the recent high level.
The next target is to reach the next concentration level which is at the 1.10000 zone.
On the other hand, if the price returns to show signs of a decline, the support level at 1.08000 is expected to be the focus for further testing.
A lower decline can be expected with the impetus of the reaction of the NFP data to be published on Friday for the price to extend the decline to the level of 1.07000.
