EURUSD → Correction before the fall. The trend is still downward

EURUSD is forming a counter-trend correction towards the liquidity zone and resistance. The currency pair is forming a bearish trend and may continue falling from the resistance.

Pic: Key resistance and support zones on the current downtrend

The currency pair reaches the support at 1.07254 and forms a correction towards the liquidity zone, presumably it is 1.0820 - 1.08215. On the background of a strong bearish trend, which is defined by the strengthening DXY , the euro may continue to lose its positions after the retest of 1.08200. At the moment there are no reasons for the end of the downtrend, as the general fundamental background is the same - the dollar is strong with the confident support of the US regulators. The trend may change on the background of news related to the interest rate, but there is no such news yet.

Resistance levels: 1.08215
Support levels: 50-MA, 1.0780, 1.0724

There is an assumption that the correction may end in the trend resistance zone, then, based on TA and fundamental background, the currency pair may continue to decline.

Regards R. Linda!

Comment:

From the news today we should wait for 14:20 GMT - Bowman's FOMC speech,
16:00 - NY Fed 1-Year Consumer Inflation Expectations - possibly discussing inflation at the moment, this data may influence the FED's view before a possible interest rate cut.

Comment:

False breakdown of the level. If the price fixes below 1.0780, there will be no point in waiting for a test of the channel boundary

Comment:

The decline continues

Trade closed: target reached:

Consolidation below target
The currency pair will continue its decline