In line with analysts' expectations, the price on the EUR/USD currency pair chart again showed a declining pattern after the US dollar strengthened again on Tuesday trading yesterday.
The ISM survey data of the service sector in the United States (US) published in the New York session yesterday recorded an increased figure, becoming the trigger to make the king of the US dollar currency wake up from his slumber.
In addition, investors are also ready for a lower fall in the value of the Euro following the pressure of the growing energy crisis in Europe after the closure of the energy supply channel through Nord Stream 1 from Russia to Europe continues again.
Investors will also be wary of the volatile movement of the Euro ahead of the European central bank meeting on Wednesday.
On the EUR/USD chart, the price has displayed a daily decline of around 120 pips yesterday from the 0.99800 level until retesting the price support level at 0.98800.
The price failed to make an increase beyond the parity level of 1.0000, and a drop back below the barrier level of the Moving Average 50 (MA50) on the 1-hour time frame on the price chart has again signaled for the price to resume the previous bearish trend movement.
The drop in price if it continues beyond the 0.98800 support is expected to go to around 0.98000 to record the latest 20-year low.
However, if the 0.98800 support remains successful in preventing the price from falling lower and instead pushes the price back up, crossing the MA50 barrier will trigger early expectations for a change in the price trend.
The resistance at the parity level of 1.0000 will again be the target to be retested before a successful further move higher will lead back to the previous concentration level at the 1.01000 zone.
