The EURUSD pair opened for the year 2022 at 1.13832. The price rallied for some time until it surpassed the year’s opening price. In the same month of January, the rally halted and the price took a bearish run below the year’s opening price. On the last day of January, the price was 1.12376.
In the first few days in February 2022, EURUSD rallied to the year’s resistance at 1.14949. However, since February 10, 2022, price has been falling reaching a new low on Monday, 7 March 2022, at 1.08112. This new low was last reached on the 18th of May 2020. Looking at EURUSD on the monthly chart, between mid last year and now, the pair has lost about 140 pips.
Indications from RSI showed oversold positions in November 2021 and December 2021. On the weekly chart between Week 3 and Week 4 in February 2022, there was a gap down. Price closed in Week 3 at 1.12711 and opened in Week 4 at 1.11178.
In the coming weeks, the gap down might be filled as EUR gains against the USD and the price could go above 1.12062. Price is currently at the lower region of the Bollinger Bands but we should watch out for the bulls.
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