EURUSD is currently trading in a downtrend after breaking below the key support level at 1.0909, indicating that the upside movement from the March low of 1.0515 has completed at 1.1095. This marks a significant shift in the market sentiment, and traders are now looking for opportunities to sell the pair at higher levels.
As long as the price remains below the falling trend line on the 4-hour chart, the bearish outlook is likely to persist, and the next targets for the pair could be at 1.0800 and 1.0710 respectively. A break below 1.0800 level could open up the possibility for the pair to test the March low of 1.0515.
On the other hand, if the pair manages to break above the falling trend line resistance, it could signal a temporary pause in the downtrend. However, in order for the bullish momentum to gain traction, the pair would need to clear several key resistance levels, including the 1.0909 support-turned-resistance level.
From a broader perspective, the long-term trend for EURUSD remains bullish, as the pair has been trading in an uptrend since the September 2022 low of 0.9535. Therefore, any weakness in the pair could be viewed as a buying opportunity for traders who believe in the long-term prospects of the Euro.
In conclusion, EURUSD is currently in a downtrend, and traders should look for selling opportunities as long as the price remains below the falling trend line on the 4-hour chart. The next targets for the pair could be at 1.0800 and 1.0710 respectively. However, if the pair manages to break above the falling trend line resistance, it could signal a temporary pause in the downtrend.
