EURUSD is breaking below short-term support confirming our bearish view for a move lower towards 1.1150. Price continues to make lower lows and lower highs and the RSI continues to trade below the key resistance trend line.
Black line - RSI resistance
Red lines- expected path
EURUSD is expected to reach the 38% Fibonacci retracement. Price is in bearish trend. EURUSD has potential to reach the 100% extension in this leg down similar to the first decline from 1.1420 to 1.1212. Support is found at 1.1175 and 1.1135. Resistance is at 1.1265 and 1.1290. The RSI is still not in oversold levels and below the black trend line. As long as this is the case, we continue to expect price to move lower.
