EUR/USD failed to develop an upward correction above the resistance level of 1.1310 (ЕМА144 on the daily chart).
On Wednesday, EUR/USD resumed its decline after the publication at the beginning of the American session of positive macro statistics from the United States, indicating a modest, but still rising inflation in the United States.
As the US Department of Labor reported on Wednesday, consumer prices in May increased compared to April, but less significantly than expected (in annual terms, +1.8% against the forecast of +1.9% and +2.0% in April). The base consumer price index, which does not take into account food and energy, rose by 2% compared with May 2018, compared with the expected growth of 2.1%.
Next week, the Fed decides on rates. Published statistics are unlikely to give the Fed a reason to lower rates, although it may signal a decrease in rates in the second half of this year.
Meanwhile, EUR/USD has remained in the global downtrend since May 2014.
At the beginning of the European session on Thursday, EUR/USD is trading near support levels of 1.1285 (Fibonacci level 23.6% of the correction to the fall from 1.3900, which began in May 2014), 1.1278 (ЕМА200 on the 1-hour chart).
Breakdown of these support levels will accelerate the EUR/USD decline towards annual lows near the support level of 1.1125.
Negative dynamics prevail; short positions are preferred.
Support Levels: 1.1285, 1.1278, 1.1232, 1.1180, 1.1125, 1.1100, 1.1000
Resistance Levels: 1.1310, 1.1365 Trading Recommendations
Sell Stop 1.1270. Stop-Loss 1.1320. Take-Profit 1.1232, 1.1180, 1.1125, 1.1100, 1.1000 Buy Stop 1.1320. Stop Loss 1.1270. Take-Profit 1.1365