EUR/USD - Retreats Slightly After the Sharp Increases - 05/18/2017 (GMT)

The EUR/USD had aggressive rises the last days, trading near its six-month highs levels, driven higher by the strong Eurozone's macroeconomic data and the weakness of greenback which is coming from the political uncertainty in the U.S. After three consecutive positive days, the common currency pair managed to surpass above 1.1140 as suggested in our analysis (see technical analysis here: http://bit.ly/2qraxch), but it is retreating early on Thursday’s morning. We would expect the retracement to end slightly above the 1.1020 and the pair to gain momentum near that level to rise toward 1.1300 psychological handle.

On the daily chart, the technical indicators are still positive, however, RSI is showing some loss of momentum as it is pointed downwards near 70 level. MACD oscillator is rising above its trigger line, while the 100-SMA is on a path to cross 200-SMA to the upside, on the daily chart.