EUR/USD Analysis – $1.0600 Level Fails to Be Touched, Price Falls Again


 Strength began to be demonstrated again by the US dollar in New York session trading last night after investors witnessed a gloomy movement the previous day.

The United States (US) 10-year treasury yield peaked to its highest level since 2007, topping 4.90%.

The tensions of the Hamas-Israel war conflict are also seen as a factor that still provides encouragement for the US dollar to strengthen its pull as a safe-haven.

Other major currencies are again under pressure with the reinstatement of the US dollar, including the anti-dollar currency, namely the Euro.

As shown in the EUR/USD currency pair chart, the previous price increase almost touched the 1.06000 level, but the price has retreated again.

With the downward pattern displayed on Wednesday night, the price fell again to around 1.05300.

The decline that has exceeded the support of the Moving Average 50 (MA50) on the 1 hour time frame on the chart indicates a tendency for prices to fall further downwards.

The target seen is the 1.05000 level which was crossed at the closing trade last week and is the current support for the price.

If this level is penetrated, the price will continue its bearish movement towards the support zone at the beginning of October around 1.04500.

Meanwhile, for the potential for initial price increases to overcome the MA50 barrier, the resistance zone at 1.06000 is still a target for price to test.

If the price finally manages to break through this obstacle, a rise higher is seen to test the high reached last week, namely around 1.06400.