FX.co ★ EUR/USD

Although I have no idea at what levels the market will end this trading week, I am sure that an upward move is possible only as part of a correction, while a downtrend remains a priority. The euro/dollar pair broke through the H1 resistance level of 1.0803 but failed to consolidate above it. Therefore, one can count on a false breakout of this resistance level. In this case, the euro will most likely break below the low of 1.0755 and head towards the 1.0700 mark. Then, I expect the pair to slide to the support level of 1.0650. It is worth considering short positions in case of a correction. If the pair rebounds to the resistance level of 1.0845 or the area of 1.0860-1.0870, it will be possible to go short at a more favorable price.

Indeed, there is a scenario suggesting a decline with no rebounds. However, sellers seem to have exhausted their potential, so they need to gain strength before dragging the price back down to new lows. Thus, I cannot rule out a correction followed by a downward movement. Generally, a downtrend remains intact, and I won't enter the market with long positions. We can see the support level of 1.0650 as a target.