EUR/USD Price Analysis: Correction deepens as sellers eye key technical floor
- EUR/USD trades near the 1.0800 zone, mildly lower after Monday’s European session.
- Bearish momentum builds as the pair extends its losing streak to four consecutive sessions.
- The downside could accelerate toward 1.0730 if sellers break through current support levels.
During Monday’s session after the European close, EUR/USD continued to retreat and was last seen moving around the 1.0800 area. The pair remains in a corrective phase after its strong March rally, with technical signals now favoring further downside pressure. The latest price action marks the fourth consecutive daily loss, suggesting that bulls are stepping aside for now.
From a technical standpoint, the Relative Strength Index (RSI) has sharply declined but still remains deep in positive territory near the 60 level, which signals that the pair may continue correcting until momentum resets. Meanwhile, the Moving Average Convergence Divergence (MACD) has begun to print red bars, highlighting a shift in momentum that supports additional downside pressure.
The next critical support comes into play around the 1.0730 region, where the 100-day and 200-day Simple Moving Averages converge. A break below that floor could reinforce the bearish case and open the door toward 1.0670. On the flip side, any bullish recovery would likely find initial resistance near 1.0860, followed by the psychological 1.0900 handle.
EUR/USD daily chart
Author
Patricio Martín
FXStreet
Patricio is an economist from Argentina passionate about global finance and understanding the daily movements of the markets.
