EURUSD: Low bit narrow finishing

Fundamental analysis:

EURUSD remained volatile around 0.97022, and the market expected that EURUSD would establish a new trading range between 0.90 and 0.95. The volatility has returned to the level since April 2020. As central banks raise interest rates and issue bonds, tighter liquidity usually leads to higher volatility. This should be the case this autumn. The economy of the euro area has experienced negative growth for three consecutive quarters. As a pro cyclical currency, it is not time for the euro to shine. We see that the trading range of 0.90-0.95 is forming.

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

Technical analysis:

The 4-hour chart shows that high short positions fluctuate downward, while low positions narrow range consolidation and translation in the short term. The market short position momentum starts to weaken, but the overall downward trend is still the same. MACD indicators are collated under the 0 axis, and RSI indicators are weak and hovering under the 50 equilibrium line;

Empty turning point: 0.97135

Pressing: 0.97457, 0.97760

Support: 0.96646, 0.96348

Trading strategy: bearish at 0.97135, target 0.96646, 0.96348

Alternative strategy: bullish above 0.97135, target 0.97457, 0.97760