EUR/USD rebound, temporary growth, seems over as the US Dollar Index increases again. We have a strong negative correlation between the USDX and the EUR/USD. When the index grows, EUR/USD drops, and when the dollar index drops, the pair increases.
The pair remains under selling pressure as long it stays under the downtrend line. EUR/USD has failed to retest the downtrend line, dropping and stabilizing under 1.17 could attract more sellers in the short term.
- EUR/USD Trading Tips & Conclusion
You can sell EUR/USD if the price drops and stays below 1.17 a few days. Also, a drop below the 1.1612 former low, peak low, could bring a short opportunity. 1.15 and 1.14 levels could be used as downside targets.
Only a breakout and stabilization above the downtrend line could invalidate a larger drop and could bring a buying opportunity.
