The performance of the US dollar in last week's trading was considered good as the risk-on market sentiment factor managed to support a moderate strengthening of the currency king.
Previously, the US dollar suffered a decline following the United States (US) employment report came in with a declining reading for July.
This has also become the hot focus of investors regarding the monetary policy of the Federal Reserve (Fed) which will be determined at the September meeting for interest rates to be lowered.
Therefore, this week the focus will be on the release of US consumer inflation data which will influence the Fed's decision to set their policy.
Observing the price movement on the chart of the EUR/USD currency pair, the price ended last week's trading flat above the 1.09000 zone.
The 1.09000 zone is seen as current support for the price which was tested on the decline exhibited on Wednesday but failed to be breached.
If the downward pattern continues again this week, the 1.09000 zone will be breached to give a bearish signal for the continuation of the price decline to lower levels.
Next, the price will reach the previous concentration zone around 1.08000.
On the other hand, if there are factors that support the price increase, the 1.10000 level will be retested again like last week.
Passing the resistance will push the price to record the latest high level towards the target of 1.11000.
