The price movement on the chart of the EUR/USD currency pair at the end of last week is seen to be more horizontal after the continuous downward pattern that has been displayed since the beginning of the week.
The US dollar's strengthening momentum faded slightly heading into late session trading, but analysts have warned against the situation.
The continuous strengthening pressure of the US dollar has dragged the value of the Euro down to its lowest level this year.
Looking at EUR/USD, the decline exhibited in the past week reached the 1.05000 level on Thursday before the price leveled off on Friday.
This is the lowest price recorded since trading in November 2023 with the 1.05000 zone being the current support for the current price.
The price increase that tried to show last Friday was seen to fail to touch the 1.06000 level before retreating down to close the trade lower again.
The price hovered around 1.05300 at the opening of the week earlier and remains below the Moving Average 50 (MA50) barrier line on the 1-hour time frame on the EUR/USD chart, indicating a remain bearish signal.
Expectations of a tendency for further strengthening of the US dollar this week risk a deeper fall in prices.
If the price moves below the 1.05000 support, the bearish trend of last week will continue for the price to record the latest low again.
The target for further price decline is towards the zone around 1.04000.
However, if a strong surge in the price is displayed until it crosses the 1.06000 resistance, it will be an early signal for a change in the price trend.
The increase if extended higher can reach again to the level of 1.07000 and further to 1.08000.
