Euro surrenders to the strength of Dollar 27/9/2023

A strong downward trend continues to control the movements of the Euro/Dollar pair within the negative outlook expected during the previous analysis, touching the desired target at 1.0555, recording its lowest level during early trading of the current session at 1.0555.

Technically, and with a closer look at the 4-hour time frame chart, we continue to favor the downward trend, relying on the continued stability of the movement below the 50-day simple moving average, in addition to the success of the pair in stabilizing below the psychological barrier support level of 1.0600.

From here, with intraday trading remaining below 1.0600 and, in general, below 1.0640, the downward trend is the most likely towards the second target of the previous report, 1.0515, a next official station, and attention must be paid to this level given its importance to the current trading levels, and breaking it increases and accelerates the strength of the downward trend so that we will be waiting for 1.0470.

Price consolidation above 1.0600 with at least an hour candle closing can postpone the proposed bearish scenario and leading the pair to recover temporarily to retest 1.0640 and 1.0680.

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: 1.0555	R1: 1.0600
S2: 1.0500	R2: 1.0640
S3: 1.0470	R3: 1.0690