The market started the movement at the beginning of this week slowly accompanying the tone of caution with the expectation of turbulence that will await at the end of the week.
Investors seem to be taking a wait-and-see approach at this point, cautiously awaiting the outcome of several central bank policy meetings that will take place this Thursday with the main focus on the FOMC.
The Federal Reserve (Fed) is expected to continue aggressive interest rate hikes by maintaining a 75 basis point rate hike for the third time in a row.
The US dollar in early trading on Monday yesterday saw positive movement in the Asian session but began to be gloomy in the European session. In the New York session, the US dollar began to show its depreciation again.
The situation gave room for other major currencies to 'breathe' again after being pressured in previous sessions by the US dollar.
As observed on the price chart of the EUR/USD currency pair, the price is still considered to be moving in a horizontal zone with the price decline that started since the beginning of the Asian session reaching around 0.99700.
And continuing in the next session, the price bounced back to make an increase and managed to pass the parity level of 1.0000 to close the trading of the New York session around 1.00200.
The price moving again above the support level of the Moving Average 50 (MA50) on the 1-hour time frame on the EUR/USD chart again gives an early signal for the price to start a bullish movement pattern.
Slow price movement continued trading in the Asian session on Tuesday morning, but there was a bullish pattern displayed even at a slow pace.
If the increase successfully continues in the following trading sessions, the resistance at the height of 1.01000 is seen as the initial target for the price to be tested.
Next, the price that continues to rise higher is likely to reach last week's high level around 1.01900.
On the other hand, if the price drops back into the previous horizontal zone, the support level at 0.99500 will be tested after the price moves below the parity level of 1.0000.
A further drop in price past 0.99500 is seen to lead to the main support zone at 0.98800.
