The currency pair has risen over 13% at times since the spike on November 04 last year, a steeper recovery than the rise between late September and November. The resulting upward trend was reversed on 06. and January 31, 2023, but was finally breached on Friday (February 3, 2023). Although the price is still holding relatively neutral at USD 1.0782 with -0.09% today, the bearish signal could entail a continuation of the corrective movement. The last support at $1.0845 has also become invalid for the time being. After that, the next support can only be identified in the $1.05 area.
The EURUSD owed this descent to the broad dollar strength, which was based on strong US data. Economists at some major banks believe that the world’s most popular currency pair will continue to struggle for the time being. In addition, the daily momentum turned slightly bearish and the RSI also fell again.
If a rise does replace the current correction, the $1.0830 level could re-emerge as resistance.