The EURUSD has started the week with another 60-pip drop after breaking 1.0800 support, as discussed late last week.
What’s next for the EURUSD as it comes into some support at 1.0730? Will the downtrend continue, and if so, what’s the best way to trade it?
Get all of that and more in today’s video!
[embedyt] https://www.youtube.com/watch?v=0tLeOcqKp_g[/embedyt]EURUSD is once again playing out as anticipated following the 1.0800 breakdown last week.
Thursday’s close flipped the level to resistance, while the US Dollar Index (DXY) was breaking above the 104.45 key level.
With the DXY now testing 105.00 resistance and EURUSD testing 1.0730 support, the question is, will the euro’s weakness continue?
In my opinion, the EURUSD downtrend isn’t over yet.
A look at the last year of price action shows a range with lows near 1.0500.
However, the lower low in October and lower highs since December are reason enough to suspect a weaker EURUSD.
The October 2023 low served as a trend change for the pair, despite the mostly sideways action for the last fifteen months.
That shift in momentum not only opens up the 1.0700 low from February but also levels like 1.0635 and 1.0460.
Of course, EURUSD bears first have to deal with 1.0730 support followed by 1.0670.
Key resistance for the euro comes in at 1.0780.
New “Fakeouts” Trading Course Launches April 19, 2024!
Join our elite trading program and save 80% on lifetime access! Sale ends soon!
