The euro achieves the goal and extends its losses 6/4/2022

As we expected, the single European currency found intense selling pressure against the US dollar, touching the official target at 1.0920, recording its lowest level around the psychological barrier of 1.0900.

Technically, today, the negative pressure is still intact—the pair’s failure to maintain trading above the previously broken support-into-resistance around 1.0970. In general, the euro settled below 1.1020, and we also find the moving average below the long-term moving average.

Therefore, we believe that the bearish scenario is most likely during today’s session, towards the second target of the last report, 1.0870, noting that the decline below this level leads the pair to complete the bearish directional movement for 1.0835 initially.

We have crossed upwards and consolidated above 1.0960. Most importantly, 1.1020 may postpone the suggested bearish scenario, but it will not cancel it, and we may witness a retest of 1.1060 before continuing to decline again.

Reminder: Fed’s statement is due today, and we may witness high price fluctuations.

Note: The risk level is high.

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: 1.0870	R1: 1.0960
S2: 1.0835	R2: 1.1020
S3: 1.0780	R3: 1.1060