EUR/USD: the US Federal Reserve intends to speed up the rate hik
Current trend
In the absence of positive drivers that can reverse or temporarily stop the current downtrend, the European currency continues to lose value, correcting around 1.0913 actively.
The problems associated with the energy confrontation between the EU and Russia are growing, and after statements by several German officials about the refusal of gas supplies, the press secretary of the President of the Russian Federation, Dmitry Peskov, in an interview with the LCI television channel, said that the EU countries could permanently lose access to cheap "blue fuel" in in the event of termination of cooperation since Russia will look for other markets. The recently published data on the producer price index also did not add positively to traders, which was worse than expected: the February indicator was 1.1%, which is below the forecasted 1.3%, and the annual growth was recorded at 31.4%, which is also below preliminary estimates of the market at 31.5%.
The index of the American currency could not overcome the psychologically important level of around 100 points and remained lower, around 99.600. The minutes of the meeting of the Open Market Committee of the US Federal Reserve (FOMC) published yesterday confirmed analysts' forecasts that the regulator consolidates to accelerate the increase in the interest rate and also has plans to significantly reduce the balance sheet capital, according to preliminary estimates, in the amount of up to 2T dollars.
Support and resistance
The asset is moving within a wide downward channel and has begun working out the local Flag pattern. Technical indicators maintain a global sell signal: fast EMAs on the Alligator indicator are below the signal line, and the AO oscillator histogram forms down bars in the sell zone.
Resistance levels: 1.1070, 1.1232.
Support levels: 1.0850, 1.0600.
In the absence of positive drivers that can reverse or temporarily stop the current downtrend, the European currency continues to lose value, correcting around 1.0913 actively.
The problems associated with the energy confrontation between the EU and Russia are growing, and after statements by several German officials about the refusal of gas supplies, the press secretary of the President of the Russian Federation, Dmitry Peskov, in an interview with the LCI television channel, said that the EU countries could permanently lose access to cheap "blue fuel" in in the event of termination of cooperation since Russia will look for other markets. The recently published data on the producer price index also did not add positively to traders, which was worse than expected: the February indicator was 1.1%, which is below the forecasted 1.3%, and the annual growth was recorded at 31.4%, which is also below preliminary estimates of the market at 31.5%.
The index of the American currency could not overcome the psychologically important level of around 100 points and remained lower, around 99.600. The minutes of the meeting of the Open Market Committee of the US Federal Reserve (FOMC) published yesterday confirmed analysts' forecasts that the regulator consolidates to accelerate the increase in the interest rate and also has plans to significantly reduce the balance sheet capital, according to preliminary estimates, in the amount of up to 2T dollars.
Support and resistance
The asset is moving within a wide downward channel and has begun working out the local Flag pattern. Technical indicators maintain a global sell signal: fast EMAs on the Alligator indicator are below the signal line, and the AO oscillator histogram forms down bars in the sell zone.
Resistance levels: 1.1070, 1.1232.
Support levels: 1.0850, 1.0600.