Recent months has seen the EURUSD on a clear downtrend. Fundamentals continue to point in that direction. Inflation, inminent Fed hikes, weak growth in Europe vs. US and to top it all the war in Ukraine has pushed Europe into a crisis. However, from a technical point of view the move is starting to look stretched (Stoch and TD Seq) and has not broken yet below the uptrend (purple). If we add the fact that we have reached our targets in the DXY that we laid out months ago, we might be looking for a potential bounce of the EUR in the next few weeks/months, but for that to happen, the uptrend must hold.