EUR/USD, AUD/USD tumble as Russia invades Ukraine but EUR/GBP manages to stabilise
EUR/USD and AUD/USD drop on Russian invasion of Ukraine but EUR/GBP weathers the storm.
EUR/USD slips as Russia invades Ukraine
EUR/USD continues its descent as Russian forces have launched a military assault on Ukraine.
The cross has slid back to the late December and January lows at $1.1236 to $1.1222 but may slide further towards the next lower November low at $1.1186. Below it the January trough can be spotted at $1.1222.
Minor resistance is found between the early-January and mid-February lows at $1.1272 to $1.128. While the currency pair remains below its one-month downtrend line and the 55-day simple moving average (SMA) at $1.1328 to $1.1345, immediate downside pressure should prevail.
EUR/GBP manages to hold at key support as Russia launches a military attack on Ukraine
EUR/GBP briefly dipped to a major support area, consisting of the January and early-February lows at £0.8305 to £0.8286, on the news that Russia has launched a full-scale invasion of Ukraine, but then bounced off it.
While this support zone continues to hold, minor resistance along the one-month resistance line at £0.8365 may be revisited. Further up resistance can be spotted at the £0.8381 November low, last week’s high and the 55-day SMA at £0.8394 to £0.8402.
AUD/USD spiked to $0.7284 before dropping on news of Russia attacking Ukraine
AUD/USD’s recent advance has probably come to an end at yesterday’s $0.7284 high as it rapidly declined once Russia started invading Ukraine.
From a technical perspective, the fact that an Evening Doji Star pattern is in the process of being formed also points to the cross having topped out. Confirmation of this bearish pattern would be a daily chart close below the $0.72 mark.
A slip through the one-month uptrend line at $0.7172 would probably lead to the August, late December and January lows at $0.7106 to $0.7083 being revisited. Minor resistance above the 18 February high at $0.7227 can be found at the 10 February peak at $0.7248.
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