Euro is looking for additional momentum 3/4/2023

The single European currency showed movements within a bearish bias due to the clash with the resistance level of 1.0920, which forced the pair to retest 1.0820, which concluded last week’s trading above the mentioned support level.

Technically, and looking at the 4-hour chart, we find that the 50-day SMA still protects the bullish bias. In addition, the stochastic indicator tries to eliminate the current negativity, which may generate additional momentum to push the price to the upside again.

With the stability of daily trading above the support floor of the psychological barrier 1.0800, the bullish bias is most likely during today’s session, targeting 1.0920/1.0900, knowing that confirming the breach of 1.0920 is a catalyst that may enhance the chances of rising towards 1.0965, and 1.0100 is an official expected station.

We remind you that the pair’s decline below 1.0800 can cancel the suggested bullish scenario and put the price under negative pressure, its initial target around 10760. It may extend towards 1.0740, Fibonacci correction of 61.80%, before resuming the rise.

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: 1.0800	R1: 1.0900
S2: 1.0760	R2: 1.0965
S3: 1.0695	R3: 1.1005