• The EUR /USD pair declined on Thursday as the dollar rose on expectations of a Federal Reserve rate hike in March.
   
• A report from the Labor Department on Thursday showed that the number of Americans who applied for jobless claims fell to a 44-year low last week, pointing to continued strength in the labor market.
   
• The data supported a flurry of encouraging comments on the economy from Federal Reserve officials that nudged the markets to price in higher chances of an interest rate hike in two weeks.
   
• The ongoing weakness is set to continue for this pair as the resistance level at 1.0556 is likely to act as strong barrier to the bulls and bring a further decline towards lower levels.
   
• To the upside, the immediate resistance can be seen at 1.0516, a break above this level would expose the pair to next resistance level at 1.0556.
   
• To the downside, immediate support can be seen at 1.0497, a break below at this level will open the door towards next level at 1.0471.
  
  Resistance Levels
  
  R1:  1.0516 (50% Retracement level)       
  
  R2: 1.0556 (61.8% Retracement level)    
  
  R3: 1.0600 (Psychological levels)
  
  Support Levels
  
  S1: 1.0497 (Session lows)                             
  
  S2: 1.0471 (38.2% Retracement level)
  
  S3: 1.0419 (23.6% Retracement level)