EUR/USD Price Analysis: Bearish impulsive eyes 1.0530, German inflation and Fed’s Beige Book

EUR/USD fades previous rebound from the lowest levels in two months.
Failure to stay beyond short-term key horizontal area, three-week-old falling trend line favors Euro sellers.
RSI conditions may offer intermediate halt during the anticipated fall towards three-month-old “triple bottom” formation.

Anil Panchal FXStreet

EUR/USD remains on the back foot around an intraday low of 1.0685 as it reverses the previous day’s corrective bounce heading into Wednesday’s European session.

In doing so, the Euro pair registers the buyer’s inability to keep the reins past the two-month-old horizontal resistance area, as well as a downward-sloping trend line from May 04.

Additionally favoring the EUR/USD seller is the RSI (14) line which still has some room before hitting the oversold territory, suggesting a gradual south-run of the major currency pair.

As a result, the quote is well-set for a slow grind toward the 1.0600 round figure. However, the triple bottoms near the 1.0530 support zone comprising multiple levels marked since late February appears a tough nut to crack for the EUR/USD bears afterward, especially amid a likely oversold RSI line at that level.

Meanwhile, the aforementioned horizontal region surrounding 1.0700-15 precedes the descending resistance line, close to 1.0725 at the latest, to restrict short-term EUR/USD recovery.

Following that, a 10-week-old horizontal hurdle around 1.0760-65 may act as the last defense of the Euro pair bears before giving control to the buyers.

EUR/USD: Four-hour chart

Trend: Further downside expected

Additional important levels

Overview
Today last price	1.0692
Today Daily Change	-0.0042
Today Daily Change %	-0.39%
Today daily open	1.0734

Trends
Daily SMA20	1.0859
Daily SMA50	1.0903
Daily SMA100	1.0816
Daily SMA200	1.049

Levels
Previous Daily High	1.0747
Previous Daily Low	1.0672
Previous Weekly High	1.0831
Previous Weekly Low	1.0702
Previous Monthly High	1.1095
Previous Monthly Low	1.0788
Daily Fibonacci 38.2%	1.0718
Daily Fibonacci 61.8%	1.0701
Daily Pivot Point S1	1.0689
Daily Pivot Point S2	1.0644
Daily Pivot Point S3	1.0615
Daily Pivot Point R1	1.0763
Daily Pivot Point R2	1.0792
Daily Pivot Point R3	1.0837

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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