EUR/USD 2H — Bearish Breakdown & FVG Retest Setup

📊 EUR/USD 2H — Bearish Breakdown & FVG Retest Setup 🔻

EUR/USD is showing a clear shift toward short-term bearish momentum after breaking below the previously established bearish channel. The recent impulsive sell-off suggests that sellers have gained control, but after such a sharp move, a retracement into the marked Fair Value Gap (FVG) could occur before the next directional move.

🔻 Market Structure

Price spent several sessions trading inside a descending bearish channel, creating lower highs while gradually moving lower. The latest strong bearish displacement pushed price below the lower boundary of the channel, indicating increased selling pressure.

The breakdown is significant because price also moved away rapidly from the 1.1600 area, leaving the marked imbalance/FVG behind.

🎯 Key FVG Zone

The highlighted FVG around 1.1590–1.1615 is the main area to watch.

A possible scenario is:

Bearish impulse → retracement into FVG → rejection → continuation lower

However, the FVG should not automatically be treated as an entry. Waiting for bearish confirmation inside or around the zone can provide a more structured setup.

📉 Bearish Scenario

If EUR/USD retraces into the 1.1590–1.1615 FVG and sellers defend the area, the price could resume its downside movement.

Potential downside objective:
🎯 1.1535–1.1540 — marked Order Block

This area is important because it represents the next major demand/order-block zone visible on the chart.

🛑 Invalidation

The bearish idea would become weaker if price strongly reclaims the FVG and establishes acceptance above approximately 1.1615–1.1620.

A clean bullish recovery above this region would require reassessing the bearish continuation scenario rather than forcing a short position.

🧠 Trade Plan

Bias: 🔴 Bearish
POI: 1.1590–1.1615 FVG
Confirmation: Bearish rejection / lower-timeframe structure shift
Target: 1.1535–1.1540 Order Block
Invalidation: Sustained move above 1.1615–1.1620
Risk: 📏 Keep position size controlled and define risk before entry.

⚠️ Important

This is a technical-analysis scenario, not a guaranteed prediction. The marked levels are based only on the structure visible in the provided 2H chart. Price can invalidate the setup at any time, so confirmation and proper risk management remain essential.

🔥 Final View

EUR/USD remains bearish while price stays below the 1.1615–1.1620 region. The preferred scenario is a retracement toward the FVG followed by bearish confirmation, with the 1.1535–1.1540 Order Block as the main downside area of interest.

🔴 Bearish below 1.1620 | ⏳ Wait for FVG reaction | 🎯 1.1535–1.1540