EURUSD: bear shock moves down

Fundamental analysis:

EURUSD remained volatile at around 0.97720. The market raised its expectation for the European Central Bank to raise interest rates, and said that rising inflation means that the European Central Bank may raise interest rates more than previously expected. The European Central Bank is expected to raise interest rates by another 100 basis points next year, and the terminal interest rate will rise to 3.5% in June next year, while it was previously expected to rise to 2.5% in February.

EUR USD EURUSD - 4-hour K line chart shows:

Technical analysis:

The 4-hour chart shows that the bulls' power retreated after being pulled up by short-term shocks, while the bears' power waited for an opportunity to enter the market and go down. The short-term decline may continue. The MACD index hovers above the 0 axis, and the RSI index is weak at the bottom of the 50 equilibrium line;

Empty turning point: 0.97797

Pressing: 0.98057, 0.98323

Support: 0.97462, 0.97243

Trading strategy: bearish at 0.97797, target 0.97462, 0.97243

Alternative strategy: bullish above 0.97797, target 0.98057, 0.98323