The United States (US) market was closed yesterday in conjunction with Labor Day, witnessing slow market movement for the opening of early September trading.
The strengthening shown by the US dollar last week did not continue at the beginning of the week when investors were also preparing to wait for some important data that will be an indication to the Federal Reserve (Fed).
The NFP jobs report will be expected at the end of the week, but in the New York session tonight the focus will be on the ISM survey data of the US manufacturing sector which is expected to influence the movement of the US dollar currency.
Judging by the price movement on the chart of the EUR/USD currency pair, the bearish pattern of the past week did not continue yesterday.
On the other hand, the price moved slowly in a range of around 30 pips with a height of only around 1.10700 the price reached.
The price is also seen struggling to rise past the Moving Average 50 (MA50) barrier line on the 1-hour time frame on the EUR/USD chart which investors are watching to determine further direction.
If the price continues the previous downward pattern, the lowest level reached at the end of last week around 1.10500 will be broken.
The continued decline is seen to be focused on the 1.10000 zone with the expectation that there will be an attractive price reaction around that area.
However, on the other hand if the price continues to recover upwards, the 1.11000 level is seen as an important resistance to test before signaling a change in trend again.
The move higher will continue to retarget at the 1.12000 high reached earlier last week.
