Yesterday, EUR/USD depreciated dramatically to 20-year low level of 0.9550. Since ultra-hawkish FED and the energy crisis keep sellers hold, the parity continues to weaken. On the other hand, ECB’s Lagarde made hawkish comments gave some support to the parity for a while before US session. Also, the news flow from Bloomberg that EU plan to delay enforcing a price cap on Russian oil imports stopped the losses.
Technically, downward pressure is still on the agenda. The break of 0.9550 level gives a way to the next 0.9465-70 area before 0.9340. On the upside, the resistance level is around 0.9710. More upside, it may be followed 0.9800 level.
Support: 0.9625 - 0.9550 - 0.9490
Resistance: 0.9710 – 0.9800 – 0.9875