The US dollar continued to decline more significantly in early trading this week after moving flat at the close of last week.
Following that, the Euro currency was seen moving higher against the US dollar even though last week, the European Central Bank (ECB) lowered interest rates at its latest meeting.
ECB President Christine Lagarde did not signal further policy steps, but stated that the European economic outlook was less clear due to the uncertainty that hit the global market.
On the EUR/USD currency pair chart, the price showed slow movement at the end of last week below the 1.14000 resistance zone.
But in the Asian session this morning (Monday), the price continued to surge past the resistance and also surpassed the previous high of 1.14700.
As of 12 noon, the 1.15300 level had been successfully reached, making it a record high price for the 3-year trading period.
With this momentum, the price could continue to rise higher in the following sessions with the target shifting to 1.16000.
However, if the price pulls back again, the 1.14000 zone will be tested again as its latest RBS (resistance become support) zone.
Failing to bounce back, on the contrary, the price will plunge lower and trigger a signal for a bearish price movement again.
Next, the price will return to the 1.13000 support zone as tested in last week's trading.
