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June 20, 2022
The Euro, US Dollar pair started to decline from above the 1.0750 level. EUR/USD broke below support at 1.0600 and both the 100-MA (red) and 200-MA (blue).
EUR/USD 4-Hour Chart (Trend: BEARISH)
On the 4-hour chart, the EUR/USD pair broke below a major bullish trend line near 1.0680. The quote gained momentum, breaking below the 1.0600 support level. The quote traded as low as 1.0360 before correcting higher towards 1.0600. It is currently testing the 50% Fibonacci retracement level of the downward move from swing high of 1.0602 to the swing low of 1.0443.
If the pair continues bearish, the quote will first need to test support near the 1.0450 level. Below this there is further support near 1.0420. Further losses could see the quote drop down towards the 1.0360 support level.
In contrast, for the pair to turn bullish, the quote will first need to test resistance near the 1.0550 level and the 61.8% Fibonacci retracement level (of the 1.0602 high to the 1.0443 low). Above this there is further resistance near 1.0600 and the 200-MA (blue). Further gains could see the quote climb up towards the 1.0650 level and the 100-MA (red).
Asian Markets Specialist
Susan has extensive experience trading the commodity, bond and futures markets.
She currently specializes in the Asian markets and holds a BA of Finance & Economics.
Susan is a former analyst at FXStreet but currrently writes exclusively for FVPTrade.
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