FX.co ★ EUR/USD Analysis on 7 March, 2022

EUR/USD staged a recovery toward 1.0900 after declining to its weakest level since May 2020 at 1.0807 in the early European session. Nevertheless, the pair is still in negative territory on a daily basis as investors remain cautious ahead of the third round of Russia-Ukraine talks.

Despite the latest recovery attempt, the Relative Strength Index (RSI) indicator on the four-hour chart stays below 30, showing that the pair is still technically oversold. In case the pair tries to extend its correction, it is likely to meet resistance at 1.0900 (psychological level), 1.0950 (static level) and 1.1000 (psychological level).

On the downside, the first bearish target aligns at 1.0820 (22-month low) before 1.0800 (psychological level) and 1.0770 (static level).