EURUSD

The Euro/Dollar parity is trading below the pivot level of 1.17754. The descending flag formation on the daily chart is at the breakout stage. The service PMI data released in the Eurozone has exceeded expectations, providing support for the Euro. However, the employment data coming from the U.S. today may increase volatility in the parity. As expectations for interest rate cuts strengthen with the easing of inflation concerns by the ECB, the Fed's hawkish stance supports the Dollar. From a technical perspective, if the resistance at 1.17631 holds, the levels of 1.17852 and 1.18157 can be targeted. In the case of downward risks, if the support at 1.17225 is broken, selling pressure towards 1.16720 may increase.