EURUSD Short: Rejection From Supply Zone To 1.1740 Demand Zone

May 10

Hello traders! Here’s my technical outlook based on the current EURUSD (1H) chart structure. EURUSD recently rallied into the descending supply line and is now testing the 1.1800 supply zone, where the market has reacted several times in the past.

Currently, EURUSD is trading just below this major resistance area while approaching the upper boundary of the broader bearish structure. The recent move into supply, combined with the rejection from the descending trendline, suggests that buying momentum may be fading and sellers could regain control.

As long as EURUSD remains below the 1.1800 resistance level and meets the descending supply line, the bearish scenario remains in place. I expect a rejection back to the 1.1740 (TP1) demand zone before further movement. Manage your risk!

May 11

Trade active

As we can see, from the first correctional movement we dropped to the support zone, where the reaction came from. I expect another correction, only lower!

May 12

Trade closed: target reached

Everything happened as I said. The analysis worked out quite accurately. We got the target. Then I think the price will continue to contract!