EUR/USD Trend Overwhelmingly Bearish Below 1.1350
|Key Highlights
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The Euro declined heavily and broke the 1.1400 and 1.1350 supports against the US Dollar.
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There is a major bearish trend line formed with resistance at 1.1320 on the 4-hours chart of EUR/USD.
EURUSD Technical Analysis
Looking at the 4-hours chart, the pair even broke the 1.1300 support area and settled below the 100 (red) simple moving average (4-hours). Sellers pushed the pair towards the 1.1220 support area and a low was formed at 1.1234.
Later, the pair corrected higher and moved above the 1.1250 level and the 50% Fib retracement level of the last decline from the 1.1341 high to 1.1234 high.
However, there is a strong resistance formed near the 1.1315-1.1320 area. Moreover, there is also a major bearish trend line formed with resistance at 1.1320. Therefore, buyers need to push the pair above the 1.1320 resistance to start a decent rebound towards 1.1350 and 1.1400.
If buyers fail, there is a risk of a fresh decline below the 1.1250 and 1.1235 levels in the coming sessions. The main support is near the 1.1220 level, below which there could a sharp drop below 1.1200.
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