The euro continues to appreciate against the US dollar, having reached relative lows on the 14th of February 2024.
However, as can be seen in the chart below, the price recently encountered an area that may pose a short-term obstacle for buyers.
EUR/USD 4 hours time frame chart. Source: xStation 5
When we look at the US dollar index further reveals that the downward momentum was initiated by a breach of the head and shoulders chart pattern.
Nevertheless, the price is presently testing a significant support zone which might curtail the ongoing downward trend. Furthermore, the technical target of the chart pattern has been met, suggesting a potential weakening of momentum.
USD index. 4 hours time frame chart. Source: xStation 5
Source: currency-strength
Henrique Tomé,Analyst Portugal
Chart of the Day: USDJPY at a Crossroads. Will the Government Step In?
Morning Wrap: Trump Announces a “Pause”. Another 10-Day Ultimatum!
Escalation concerns trigger sell off, as UK set to be worst performer in G7
Daily Summary: Iran Uninterested in Trump’s Peace Plan
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
