The Euro Continues to Decline 28/1/2022

The euro faced noticeable losses against the US dollar during the previous trading session, within the expected path, touching the first official goal at 1.1160, approaching the second target of 1.1120, recording its lowest level at 1.1130.

Technically, and by carefully looking at the 4-hour chart, we notice that the moving averages continue to support the bearish price curve, in addition to the stability of the RSI below the mid-line 50.

We expect the continuation of negative pressure on the pair, knowing that confirming the breach of the psychological barrier 1.1100-floor increases the strength of the daily bearish trend, opening the door to 1.1065 and 1.1030, respectively.

Activating the bearish scenario suggested above depends on the stability of intraday trading below the previously broken support level at 1.1270.

Note: Stochastic is now trading around oversold areas.

Note: CFD trading involves risks; all scenarios may occur.

S1: 1.1110	R1: 1.1220
S2: 1.1065	R2: 1.1290
S3: 1.0995	R3: 1.1340