© O Financista. EUR/USD weakens
Investing.com – The Euro Dollar retains a graphic profile positive this morning (Monday) despite a decline of more than 50 pips since the summit on Friday.
Recall that the EUR/USD had risen sharply last Friday, managing to break above the psychological threshold of 1.13 after having tested it several times without success on previous days.
The report to the NFP on the job US in the month of may had been particularly disappointing, with employment largely in consensus and an increase of wages, lower than expected, which had weighed heavily on the Dollar.
In this context, the EUR/USD pair had shown a net rally, from brushing against the resistance of 1,1350 a few hours before the weekly close of the forex.
And even if the pair has lost ground since the summit, the trend is positive overall from a graphical point of view.
EUR/USD remains above its moving averages 100 and 200 hours to 1.1268 and 1.1215, as well as above the low of Friday towards 1.1250.
Overall, one might consider that the bias remains positive as long as the pair remains above 1.1250.
However, it should be noted that the break below the psychological threshold of 1.13 this morning is a first alarm signal which should encourage buyers to be cautious.
Indeed, the correction could still finish by prevail temporarily, in the absence of catalysts that may maintain the increase.
The economic calendar for this Monday, June 10 will be very light, and only the new jobs JOLTS could influence trade, at 16h.
The side of the big folders macroeconomic course, it should be noted that no concrete progress could be found during the weekend in the negotiations China-USA.
In the case of Mexico, Trump announced Friday evening a deal that will avoid the application of customs duties to US, which seems to slightly benefit the Dollar.
Finally, it should be noted that if the EUR/USD pair resumes its rise above 1.13, the resistance of 1,1350 frôlée at the end of last week will be the first potential goal to take into account before the psychological threshold of 1.14.