The Euro showed a depreciation in value after the results of the European Central Bank policy meeting in the New York session yesterday.
The European Central Bank (ECB) met expectations of lowering interest rates by 25 basis points and the subsequent statement was cautious due to trade war factors and defense spending plans that could trigger a resurgence of inflation in Europe.
However, the depreciation of the Euro is only slight compared to the continuous increase in value displayed since the beginning of the week.
The US dollar remained in a gloomy performance while investors cautiously waited for the US (US) NFP employment data report to be published in the New York session later tonight.
Examining the price movement on the EUR/USD currency pair chart, the price reached a high of around 1.08500 on Thursday yesterday before declining again following the reaction to the ECB meeting results.
The price fell in the New York session below the 1.08000 level and remained flat around that level to continue trading in the early Asian session this morning.
However, the price movement above the Moving Average 50 (MA50) support line on the 1-hour timeframe on the EUR/USD chart still maintains a bullish signal throughout this week.
If the price is able to surge above the 1.08000 level again, the previous upward pattern is likely to resume.
The high reached yesterday can be overcome before the price records a new 4-month high targeting the 1.09000 zone.
On the other hand, if the price remains blocked at the 1.08000 level and the NFP employment report strengthens the US dollar, the price could plunge again at the end of this week.
Several focus levels will be targeted by the price for the initial decline that has begun such as the 1.07000 and 1.06000 levels.
