Technical outlook:
EURUSD has given away 200 pips since yesterday's high registered around 1.2134 levels. This drop was much anticipated and EURO weakness has just begun to unfold having much room lower. Bears seem to be completely in control for now and with no support around, might be looking to accelerate lower towards 1.1300 sharply.
EURUSD has already taken out strong support around 1.1986 and is seen to be trading close to 1.1930 levels at this point in writing. Immediate price support now is seen at 1.1704, while resistance comes in around 1.2218 and higher respectively. Any pullback from here is expected to remain well capped below 1.2100 mark, going forward.
EURUSD has finally resumed lower from 1.2140 mark yesterday towards 1.1700 and lower to complete the structure that had begun from 1.2350 highs in January 2021. Traders might be looking to hold short positions further with reduced risk and also add more on pullback rallies.
Trading plan:
Remain short, reduce stop loss to 1.2266, target @ 1.1300 and lower.
Good luck!
