The euro fell to a 20-year low (0.9873) following it passed the 0.9900 support on Monday.
Negative sentiment was further exacerbated when Russia halted gas supply through its main pipeline. This has raised fears of further increases in energy prices and a slowdown in economic growth.
With the underlying trend getting darker day by day. As winter is approaching and Europe, which is heavily dependent on Russian energy. Facing minimal supply or stopping all possible supplies The technical study is in full bearish pattern and increasing the downtrend.
The continued break of the 0.99 handle might risk testing the Fibonacci forecasts at 0.9831 (138.2% of the bearish leg from 1.0079 high) and 0.9789 (Fibo 161.8%), where the breach will reveal a month high. January 2001 at 0.9595
Short-term action should stay below the 5/10DMA confluence (0.9975) to maintain a bearish bias. However, the bears are looking for confirmation of a close below the low of 0.9952 (Aug. 23), which would Generates a signal of a continuation of the downtrend.
Resolution: 0.9952; 0.9975; 1.0000; 1.0055.
Support: 0.9853; 0.9789; 0.9634; 0.9595.
