Technical analysis
The EMA(100) is higher than the EMA (50), which is beneficial for bears
The RSI is below 50
The MACD line is below 0 and shows a possible uptrend.
What the possible outcomes are
Yesterday the Fed’s official gave a hint about the interest rate hike in 2023. That led to the U.S. dollar strengthening. Thus, the EURUSD pair declined to 1.18360.
In our most likely scenario, EURUSD may experience a downward correction towards the first support level of 1.18170.
If the price passes the first support level, we can expect a continued downtrend towards the second support level of 1.17872.
Conversely, it’s possible to see the pair rise towards the first resistance level of 1.18919.
If the pair surpasses the first resistance level, we should expect a continued surge towards the second resistance level of 1.19231.
Key levels
Support 1.18170 1.17872
Resistance 1.18919 1.19231
