Market volatility at the beginning of the week gave an advantage to major US dollar currency trading which featured a strengthening at the opening of the Asian market session yesterday.
Yet with weak momentum, it failed to support the outstanding performance of the US dollar so as to connect to the New York market session.
The development of the Russia-Ukraine war continues to be monitored by investors and at the same time also follows reports of movement restrictions in Shanghai following the outbreak of Coronavirus.
Investors will be wary of the movement of the US dollar ahead of the release of the main focus data, the US NFP employment data report this weekend.
Examining the price movement on the chart of the EUR/USD currency pair yesterday, the price initially declined to the level around 1.09450 after a decline in the Asian session, then rebounded again in the European session testing the resistance of 1.1000.
However, continuing trading until the end of the New York session, the price remained hovering below the resistance level, seen as difficult to break it.
A similar situation was seen in trading in the Asian session this morning (Tuesday), with price movement also hindered by the Moving Average 50 (MA50) barrier level on the 1 -hour time frame to continue signaling for the price to move in a bearish trend.
If a clearer decline in the price is displayed after this, the zone around 1.09000 will be the initial focus that will test the price to get out of the horizontal zone of the price since last week.
The continued lower decline is seen to return heading back to the 1.08000 support zone.
Yet if the price starts signaling for a trend change, the initial price surge will pass the 1.1000 level and the MA50 barrier.
Next the price increase will head to the resistance zone at around 1.11300, the height reached by the price in the last 2 weeks.
The next higher rise is expected to reach the 1.12000 level to test the focus level.
