Although slightly eased, market sentiment remained risky until trading resumed earlier this week after a 3 -week war between Russia and Ukraine.
Russian President Vladimir Putin noted that Kyiv is seen as not serious about finding a solution for mutual agreement.
The news has dampened hopes for negotiations for the two countries after Ukrainian presidential advisers told them they were confident a diplomatic agreement would be reached in the next few weeks.
In other developments, China announced more significant movement restriction measures after a resurgence of coronavirus infection cases in the country.
Market risk-off sentiment is currently seen supporting the strengthening of the US dollar as a safe-haven currency as investors await the outcome of the FOMC meeting early Thursday morning.
The price chart of the EUR/USD pair moved flat earlier this week before investors expected a drastic price movement to take place after the FOMC meeting.
Continuing until Tuesday's trading yesterday, the price has tested the resistance level at 1.1000 but still failed to break it again.
The decline repeated in the New York session yesterday to the level around 1.09300 and hovered at the level of Moving Average 50 (MA50) on the 1 -hour time frame while investors waited for signals for further price movement.
For the expectation of the decline to continue, the price support zone at 1.0800 will be the target to test the lows reached last week.
The lower decline beyond the support is then seen to lead to the latest low around 1.07000.
However, on the other hand if the price manages to jump and pass the resistance of 1.1000, the price will likely start ready to move in a bullish trend again.
For higher expectations, the price will test the SBR zone (support become resistance) at 1.11200 which was the resistance for the price last week.
