Risks on the assessment of current market sentiment have risen again as the United States (US) government has accused the Russian military of committing war crimes in Ukraine.
The statement will further anger Russian President Vladimir Putin as peace talks continue to fail to reach an agreement after several rounds.
US President Joe Biden will hold a meeting with European NATO members on Thursday, with the expectation that sanctions on Moscow will be further increased as well as discussing the Iran nuclear deal.
The US dollar as a safe-haven currency again showed a strengthening in yesterday’s trade after a rather gloomy move earlier in the week.
The strengthening of the European currency against the US dollar was previously limited and received renewed pressure by the strengthening of the US dollar.
On the price chart of the EUR/USD pair, the price fell back below the 1.1000 level in Wednesday's trading after there was a surge on Tuesday.
This again signals for the price to resume the bearish trend movement after the price increase was made blocked by the Moving Average 50 (MA50) barrier level on the 1 hour time frame.
But yesterday's decline was still supported by the weekly support level around 1.09650 as investors saw the price rebound from that level and close with the New York session around the 1.1000 level again.
Continuing trading in the Asian session this morning (Thursday), the price slightly eased back below the 1.1000 level after testing the MA50 barrier.
The lower decline will be expected to pass the support level of 1.09650 and descend towards the zone around 1.0900.
If the price continues to decline, the support zone at 1.0800 will wait to be tested and investors will assess the price reaction on that important zone.
On the other hand, if the price rebounds, the resistance zone at 1.11300 will return to focus after last week's rise failed to break the zone.
The continued higher rise will lead to the 1.12000 focus level to continue the bullish trend movement.
Manufacturing and services sector data in Europe and the US will be monitored by the market today which is expected to influence the movements for the US dollar and Euro currencies.
