EURUSD dejected after covid cases surge in China.
“Bears pushes euro downwards as China recorded a surge in coronavirus cases.”
Euro struggled to make any substantial gains against the greenback as risk aversion sentiment dominates the financial market. According to reports, China has recorded a significant jump in daily coronaviruses cases with two virus-led death on Monday. The report sparks concern over the government’s action which may impose strict lockdown to contain its spread. Nonetheless, losses on the euro were cushioned by European Central Bank’s signal to raise interest rate further to combat rising price of goods.
Quick recap on EURUSD
The pair failed to extend its bullish momentum after bears take over near the 200-MA line.
EURUSD Weekly Technical Analysis
The pair is currently testing near its recent support while MACD illustrates diminished upward momentum.
EURUSD Daily Technical Analysis
Recently, EURUSD was rejected by 200-MA line, signifying strong bearish pressure up to which may push the pair further downwards thereafter.
ORDER: SELL STOP
STOP LOSS: 1.0350
Target 1: 1.0030
Target 2: 0.9960
ZFX Analyst’s Comment
The pair remains skewed towards the downside while recent price action near 200-MA line suggests possible extension of bearish momentum.
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