Things are bad when there is a need to look far into the past to draw support lines. EUR/USD is no exception in that regard. At the time of writing, EUR/USD had touched 1.05856 - its lowest level since April 2017. Pummelled by escalating events related to war in Ukraine, further lockdown fears in China, and expectations of aggressive tightening from the US Federal Reserve, the single currency has fallen by nearly 1.7% so far this week and is heading toward its 4th consecutive week of declines.
Sellers didn’t even blink as EUR/USD slid below the March 2020 low of 1.06361. Now will certainly be eyeing the 1.04, followed by the January 2017 low of 1.034 level as the next area of support. If the latter fails to hold, the next clear support level looks to be at the 1.0195 region, which acted as prior resistance back in July 2002. That said, none of these support levels seem to be places of quick rejection. The price history also feels a bit stale in the current market context.
