The 0.618 retracement level held and the price broke the Parabolic SAR levels as discussed last week.
The market played out with Scenario A and continued to sell off towards the 1.3000 level. This week we have NFP data released which will give the EURUSD a push.
Scenario A: Continued strength in the USD could see the market move lower than 1.3000 and head towards to the structure low of 1.1235. For it to get to that level, it must also trade lower than it's support level at 1.1250 which has been held there since November 2018. Should it continue further, then we are looking at the 1.1188 and 1.1129 levels.
Scenario B: Should momentum change and Euro strengthens then we could see two key support areas the lower 0.618 retracement level and the 1.1250 support. If the market moves lower then we will look out for a retracement from these areas. Should Scenario B playout then it is reasonable to predict that price levels of 1.1340 would be tested as a resistance level.
This analysis is for informational purposes only and is not a recommendation, buy/sell signal, or advice in any format.