On Thursday, 31 March, the European single currency against the dollar in morning trading moderately reduced after three consecutive winning sessions.
Yesterday, on Wednesday, the dollar fell against the Euro to a minimum in about 7 weeks. The motivation for the weakening of the American currency, apparently, was made Tuesday comments by the head of the fed.
Recall that Yellen in her speech at the Economic club of new York reiterated previously voiced the idea that in the coming years, you can only rely on a gradual and cautious increase in the key rate, and that negative developments outside the US increases the risks inherent in the us economy.
A dovish tone of the statements by the fed in recent days has had a powerful pressure on the dollar, and this has not prevented even good data on the labor market from ADP in the published report States that employment in the private sector increased by 200,000 jobs.
Tomorrow, Friday, in the United States is expected to release official data on the labor market, which traditionally has had an important impact on the dynamics of the dollar. If employment in non-agricultural sectors expand in size to more than 200,000, and the average length of the work week and average hourly wages will not be reduced, the dollar could get an incentive to rebound.
As of today, at 09:00 and 10:55 Moscow time will be published statistics on retail sales and unemployment in Germany for February and March respectively, and we cannot exclude a local reaction of the Euro on the data, and in the afternoon in the States will be released weekly data on initial claims for unemployment benefits and the Chicago PMI for March.
From a technical point of view, the course could not gain a foothold above the resistance mentioned by us at the level of 1,134, and in the short term is likely to continue correction movement down from this mark.
Source: MetaTrader Finam Ltd, 4-Hour Chart