EURUSD analysis

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EURUSD bears are in control, targeting a decline to 1.07000.
A break below 1.08000 would confirm the bearish trend.
The US dollar is strengthening on rising interest rates and safe-haven demand.

The EURUSD pair has been under pressure since early March, breaking below the critical support level of 1.10000. The bears are now targeting a decline to 1.07000, which is the 50% Fibonacci retracement level of the March 2022-February 2023 rally.

A break below 1.08000 would confirm the bearish trend and could open up further losses towards 1.05000 and 1.03000.

The Relative Strength Index (RSI) is below 50.00, indicating that the bears are in control. The Moving Average Convergence Divergence (MACD) indicator is also bearish, with the MACD line below the signal line.

Fundamental Analysis:

The US dollar is strengthening on rising interest rates and safe-haven demand. The Federal Reserve is expected to continue raising interest rates in 2023 to combat inflation, which is at a 40-year high.

The European Central Bank (ECB) is also expected to raise interest rates in 2023, but at a slower pace than the Fed. This is likely to weigh on the euro.

Overall, the technical and fundamental factors are pointing to further weakness in the EURUSD pair. A decline to 1.07000 is likely in the near term.

Traders should keep an eye on the following levels:

Support: 1.08000, 1.07000, 1.05000
Resistance: 1.10000, 1.11000, 1.12000

Disclaimer: This is not financial advice. Do your own research before making any trades.
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