The Euro is moving in the descending channel 19/4/2022

The single European currency ended last week’s trading with a noticeable decline within the expected bearish context mentioned in the previous analysis, touching the first official target required around 1.0775, recording its lowest level at 1.757.

Technically, the pair witnessed quiet trading due to the European market holiday yesterday. However, with a careful look at the 240-minute chart, we notice the continuation of the negative pressure coming from the 50-day simple moving average and the price stability below the resistance level of the descending channel shown on the chart.

Therefore, with daily trading below 1.0830, the bearish scenario remains valid and effective to visit the next official station, 1.0720. The decline below the mentioned level extends the euro’s losses against the US dollar so we will be waiting for 1.0660.

To remind you that the attempt to consolidate above 1.0830 postpones the chances of the suggested scenario, and we may witness a limited bullish bias that targets retesting 1.0880 before attempting to decline again.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 1.0720	R1: 1.0880
S2: 1.0655	R2: 1.0985
S3: 1.1550	R3: 1.1045