- EUR/USD failed to climb above 1.0650 and started a fresh decline.
- The Israel-Hamas war is sparking swing moves in the US dollar, gold, and oil prices.
- Gold prices surged above the $1,900 resistance zone.
- Crude oil prices recovered and retested the $88 resistance zone.
EUR/USD Technical Analysis
The Euro recovered above 1.0580, but it failed to surpass 1.0650 against the US dollar. EUR/USD topped near 1.0640 and started a fresh decline. The ongoing Israel-Hamas war is still dominating the Forex and Crypto market. Recently, Joe Biden warned Israel against occupying Gaza.
Looking at the 4-hour chart of EUR/USD, the pair declined below the 1.0565 support zone. There was a break below a key bullish trend line with support near 1.0560. The pair even settled below the 1.0550 level, the 100 simple moving average (red, 4 hours), and the 200 simple moving average (green, 4 hours).
It tested the 1.0500 support zone and the 76.4% Fib retracement level of the upward move from the 1.0448 swing low to the 1.0639 high.
If the bears remain in action, the pair could slide below 1.0480. The next key support is seen near the 1.0445 level, below which it could test 1.0420. Any more losses might send the pair toward the 1.0350 level.
On the upside, the pair might struggle to clear the 1.0550 resistance and the 100 simple moving average (red, 4 hours). The next key resistance is near 1.0640.
A close above 1.0640 could start a steady increase. In the stated case, EUR/USD might rise and recover toward the 1.0720 resistance zone. The next major stop for the bulls could be 1.0800.
Looking at gold, the price remained strong above the $1,840 level. It started a fresh increase and surged above the key $1,900 resistance zone.
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