Other major currencies in the market took advantage of the continuous depreciation of the US dollar over the past week with positive gains.
The US dollar was affected by the latest United States (US) economic data published with the main indicator being the consumer inflation data (CPI) which recorded a lower decline than forecast.
Although the producer inflation data (PPI) published on Friday recorded slightly good numbers, the US dollar still failed to recover and ended the week's last trading session with a decline.
If observed on the chart of the EUR/USD currency pair, the bullish price trend is maintained with the price successfully recording the latest 5-week high level.
The rally at the end of the last session reached the target zone of 1.09000 before prices opened lower again following the firing of Donald Trump over the weekend which caused panic in the market.
The price hovered slowly below the level of 1.09000 in the Asian session this Monday morning but still remained above the support line of the Moving Average 50 (MA50) on the 1-hour time frame on the EUR/USD chart to signal that the bullish trend will continue.
If the US dollar remains weak and the price is pushed above 1.09000, the price will continue to record new highs this week.
The target is to reach up to around 1.10000 as the next price concentration level.
However if the price starts to pull back down and break below the MA50 support, it will be an early warning signal for the price to start a bearish pattern.
The initial focus is on the nearest support level at 1.08000 which managed to prevent the price from falling last week.
The price could drop lower if the market situation changes with the strengthening of the US dollar currency.
