EUR/USD - EUR/USD Created the 2nd Red Week in a Row - 12/12/2016 (GMT)

The euro remained under pressure after the European Central Bank’s dovish moves last week, while the EUR/USD pair plunged more than 1% over last week’s session and printed the second red week in a row. Also, the pair awaits the Fed’s interest rate decision on Wednesday which probably will affect it.

Technically, the price has an aggressive run to the upside during Thursday while ECB President Mario Draghi was speaking, and the pair challenged the 1.0870 resistance level. However, the common currency failed to move further up and fell near the 1.0530 support level. For a bearish position, we would need a break below the latter level for confirming the downside momentum and the next obstacle to watch is the 1.0460. On the other hand, the pair is recording a green day while it is possible for a retest of the 100-SMA, on the 4-hour chart, or moreover, the 1.0700 significant psychological level. Technical indicators, on the short-term timeframe, lie into the negative territory. The RSI indicator is pointing upwards while the MACD oscillator is weakening below the zero level.