The euro is trading around 1.1529 under strong downward pressure after attempting to break through the strong resistance at 1.1650.
The euro has been within a descending trend channel since the beginning of September and is likely to continue its downward cycle in the coming days. EUR/USD could reach the 6/8 Murray level at 1.1474 and is even expected to drop to the 5/8 Murray level around 1.1352.
Conversely, if the euro reaches the strong support at the 6/8 Murray level, it could be seen as an opportunity to open long positions, as this level could give the euro a chance to resume its upward cycle and potentially rebound to the 8/8 Murray level around 1.1712.
Remember that the euro has left a gap around 1.1740, and this gap has not yet been filled. Therefore, it is expected that the price will return to these levels in the coming days, and we will look for buying opportunities if the euro finds good support around 1.1474 or around 1.1352.
A decisive break above the 200 EMA, located at 1.1650, could support the bullish outlook for EUR/USD and will be seen as a possibility to continue buying, with a target at 1.1890.
