EUR/USD Faces Key Support Break – Bearish Continuation Ahead?
EUR/USD 1H Chart Analysis: Bearish Outlook
Key Observations:
Price Rejection from Resistance:
The price attempted to move higher but faced strong resistance around 1.0520 - 1.0540, leading to a rejection.
Support Zone & Breakout Potential (Blue Box):
The market is hovering around a key support area (1.0440 - 1.0460).
A confirmed break below this support zone could lead to further bearish momentum.
Bearish Projection (Red Arrow):
The chart suggests a potential retest of the support before a deeper drop.
If the price fails to reclaim the broken support, it could move toward the next major support around 1.0380 - 1.0400.
Lower High Formation:
A series of lower highs suggest a weakening bullish momentum and a possible shift toward bearish control.
Trading Outlook:
Bearish Bias: If price stays below 1.0460, further downside is likely.
Break & Retest Confirmation: A pullback to 1.0440 - 1.0460 followed by rejection could be an entry signal for sellers.
Target Levels:
Short-term: 1.0400
Extended target: 1.0380
Invalidation: A break above 1.0480 - 1.0500 would weaken the bearish setup.
Conclusion:
Downtrend Formation: Lower highs and break of key support indicate further downside.
Watch 1.0440 - 1.0460: Key level to confirm next move.
Bearish Targets: 1.0400, then 1.0380 if momentum continues.
Key Observations:
Price Rejection from Resistance:
The price attempted to move higher but faced strong resistance around 1.0520 - 1.0540, leading to a rejection.
Support Zone & Breakout Potential (Blue Box):
The market is hovering around a key support area (1.0440 - 1.0460).
A confirmed break below this support zone could lead to further bearish momentum.
Bearish Projection (Red Arrow):
The chart suggests a potential retest of the support before a deeper drop.
If the price fails to reclaim the broken support, it could move toward the next major support around 1.0380 - 1.0400.
Lower High Formation:
A series of lower highs suggest a weakening bullish momentum and a possible shift toward bearish control.
Trading Outlook:
Bearish Bias: If price stays below 1.0460, further downside is likely.
Break & Retest Confirmation: A pullback to 1.0440 - 1.0460 followed by rejection could be an entry signal for sellers.
Target Levels:
Short-term: 1.0400
Extended target: 1.0380
Invalidation: A break above 1.0480 - 1.0500 would weaken the bearish setup.
Conclusion:
Downtrend Formation: Lower highs and break of key support indicate further downside.
Watch 1.0440 - 1.0460: Key level to confirm next move.
Bearish Targets: 1.0400, then 1.0380 if momentum continues.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.