Breaks $1.0500, EUR/USD Now at 10-Month Low!

<p>&nbsp;The US dollar showed its strength again in the early trading yesterday after a rather gloomy performance at the end of last September.</p><p><br /></p><p>Several factors are seen to be supporting the strengthening of the US dollar which saw the dollar index rise to the highest level since November 2022 while the 10-year bond yield of the United States (US) reached its latest record high since 2007.</p><p><br /></p><p>Other major currencies in the market failed to withstand the strengthening of the US dollar, including the Euro which fell to a new low yesterday.</p><p><br /></p><p>Examining the price chart of the EUR/USD currency pair, the price's attempt to reach the 1.06000 level was unsuccessful which then saw a continuous decline until the end of the New York session.</p><p><br /></p><p>The price plunged past the support level of 1.05000 and closed the New York trading session at around 1.04770 while recording the latest 10-month low.</p><p><br /></p><p>The bearish trend movement is expected to continue after the price has also returned to move below the Moving Average 50 (MA50) obstacle level on the 1-hour time frame on the chart.</p><p><br /></p><p><br /></p><p>The next target for a lower drop is towards 1.04000 with the expectation that there will be a price reaction at that concentration zone.</p><p><br /></p><p>In the event of a rebound, the 1.05000 level will be the initial resistance that the price will test.</p><p><br /></p><p>After successfully breaking through it, the price is expected to return to the 1.06000 zone which is the resistance zone also tested last week.</p>