The geopolitical conflict is not over. Tensions between Russia and Ukraine have yet to subside which was seen to warm again last weekend.
Risky market sentiment is expected to give an advantage to safe-haven trading including the US dollar this week.
Yet opening trading earlier in the week in the Asian session this morning, the US dollar showed a decline in its value after closing trading at the end of last week with a displayed strengthening.
The price chart of the major EUR/USD currency pair showed a decline again last Friday with the strengthening of the US dollar in the last session due to risk-off market sentiment.
Still seen moving in a bearish pattern, the increase shown last week failed to pass the 1.14000 level in the SBR (support become resistance) zone.
After closing last week’s trade around the 1.13500 level, the price exhibited a resurgence of price at the opening of the Asian session this morning testing the Moving Average 50 (MA50) resistance level on the 1 -hour time frame.
Analysts still expect the price decline to continue again this week to head to the focus zone around 1.12700-1.12500.
Passing the zone will push the price to test the level around 1.12000 if the US dollar remains dominant in the market.
On the other hand if the price manages to make a rise and break the SBR zone of 1.14000, investors may need to prepare for a higher rise.
Signaling for a reversal of the bullish trend, the price will target a rise to the 1.14800 high zone reached in early February trading.
The higher rise will record the latest 3 -month high with the target at around 1.15300.
