FX.co ★ EUR/USD

EUR/USD Daily Chart Analysis The EUR/USD daily chart is showing a bearish structure after failing to continue its recent recovery. Price reacted from the marked OB + FVG (Order Block and Fair Value Gap) area near 1.1580 and was rejected strongly, which suggests that sellers are still controlling the market. I can see that the market respected the descending TLR (trendline resistance), and the latest candles indicate renewed downside momentum. The chart also shows several MSS (Market Structure Shift) and BOS (Break of Structure) points that support the bearish outlook. After reaching the supply zone, buyers were unable to push above resistance, and the pair quickly moved lower. The weekly high area marked as PWH around 1.1816 remains an important resistance level, while the recent lower highs confirm that the broader trend is still under pressure. I believe traders will continue watching the 1.1550–1.1600 region because it acted as a key decision zone where sellers entered aggressively. The long bearish candle after the rejection is a sign that market participants are taking profit on long positions and opening new short positions. From a technical perspective, the rejection from the premium zone increases the probability of further downside movement

Looking ahead, the bearish trade setup shown on the chart targets the area around 1.1260, offering a strong risk-to-reward profile. I think this target is realistic if the current selling pressure continues and the U.S. dollar remains supported by economic data and monetary policy expectations. The pair is trading below the highlighted supply zone, which means sellers currently have the advantage. Any short-term pullback toward the order block could attract fresh selling interest before another move lower. I would watch for daily candle closes below recent swing lows because that would confirm continued bearish momentum. On the fundamental side, traders remain focused on interest rate expectations from the European Central Bank and the U.S. Federal Reserve. If U.S. economic reports remain stronger than expected while Eurozone growth stays weak, the dollar could gain additional strength against the euro. Geopolitical uncertainty and global risk sentiment may also influence market direction. Overall, the chart structure favors sellers, and I see the current decline as part of a broader bearish trend unless price can reclaim and hold above the 1.1580–1.1600 resistance zone. Until that happens, rallies may be viewed as selling opportunities rather than signs of a trend reversal.