Euro continues to suffer losses 22/9/2022

A strong bearish trend dominated the euro’s movements against its US counterpart within the expected negative outlook during the previous analysis, touching all the required bearish targets to reach the last target of 0.9835, recording its lowest level at 0.9807 during the morning session of the current session.

On the technical side today, the simple moving averages continue to cross negatively, supporting the occurrence of more decline and motivating the negative outlook; the pair continues receiving negative signals from the momentum indicator on the 4-hour time frame.

From here, and with the stability of the daily trading below the previously broken support and now turned into a resistance level at 0.9900, the bearish trend is the most preferred, knowing that the decline below 0.9800 facilitates the task required to visit 0.9760 first target, and then 0.9710 awaited next station.

From above, consolidation above 0.9900 and, most importantly, 0.9930 postpones the above-suggested scenario, and the euro may witness a temporary recovery to retest the parity point of 1.0000.

Note: We are awaiting high-impact data from the UK “British interest rate decision, monetary policy summary, and MPC votes,” and we may see price volatility.

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: 0.9760	R1: 0.9930
S2: 0.9700	R2: 1.0030
S3: 0.9590	R3: 1.0100