Key Highlights
- EUR/USD extended its decline below the 1.0750 support.
- It is facing many hurdles near 1.0750 and 1.0800 on the 4-hours chart.
- GBP/USD is declining and might revisit the 1.2000 support.
- Bitcoin price declined further below the $22,350 support zone.
EUR/USD Technical Analysis
The Euro started a major decline from well above the 1.0950 level against the US Dollar. EUR/USD declined below the 1.0850 support to move into a bearish zone.
Looking at the 4-hours chart, the pair declined below the 1.0800 support zone, the 100 simple moving average (red, 4-hours), and the 200 simple moving average (green, 4-hours).
There was also a close below the 1.0750 support zone. Finally, it tested the 1.0660 support zone. The current price action suggests more chances of a drop below the 1.0620 and 1.0600 support levels.
The next major support is near the 1.0550 level. If there is a downside break, the pair could decline towards the 1.0500 level. Any more losses might call for a test of 1.0420.
On the upside, the pair is facing resistance near the 1.0720 level. The next major resistance is near the 1.0750 level. A clear move above the 1.0750 resistance might start a steady increase towards the 1.0800 resistance zone.
Any more gains could open the doors for a move towards the 1.0850 level, above which the bulls may perhaps aim a retest of the 1.1000 resistance.
Looking at bitcoin price, there was a clear move below the $22,350 support zone and it seems like the bulls are slowly losing control.
Economic Releases
Japan’s Gross Domestic Product Q4 2022 (QoQ) (Prelim) – Forecast 0.5%, versus -0.2% previous.
