The euro attacks the resistance 21/4/2022

We adhered to intraday neutrality during the previous analysis, explaining that we prefer to monitor the price behavior of the pair around the 1.0770 support level, explaining that the pair’s success in building the level above, in addition to confirming the breach of 1.0840, leads the pair to recover, targeting 1.0880, recording the highest 1.0867.

Technically, by looking at the 4-hour chart, we notice the euro started moving above the 50-day moving average. This comes in conjunction with the clear positive signs on the 14-day momentum indicator on the short time frames.

Although the technical factors support the possibility of a rise during today’s trading session, the breach of 1.0880 is an essential condition to activate the bullish scenario, as 1.0920 is the first target and from 1.0970.

If the euro fails to consolidate above 1.0880, resuming stability below 1.0800, the bearish trend returns to control the pair’s movements, to visit 1.0720.

Note: Today, ECB president and Chairman of Fed speech is due today and may cause some 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: 1.0800	R1: 1.0880
S2: 1.0750	R2: 1.0920
S3: 1.0715	R3: 1.0970