The EURUSD is breaking below its rising 100-day moving average of 1.05494, trading below this level for the first time since November 10, 2022, when the 100-day moving average was at 1.0033. The pair is currently trading at 1.0525.
Examining the daily chart, the pair's high earlier today reached into the upper swing area between 1.07509 and 1.0805, hitting its highest level since February 14 at 1.07592. However, the momentum could not be sustained, as concerns about the European banking system began to resurface.
The European Central Bank (ECB) is scheduled to meet tomorrow. At the last meeting, ECB President Christine Lagarde effectively pre-announced a 50 basis point rate hike. However, there are now rumblings that the ECB may reduce the hike to 25 basis points. This adjustment will likely be the subject of intense debate, given the current market conditions.
