The EURUSD continues to accelerate lower with minimal corrections, keeping the bearish momentum firmly intact. The pair has now broken below a key swing area between 1.1614 and 1.16309, which now acts as close risk for sellers. As long as the price stays below this zone, the bias remains to the downside.
Next targets:
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1.1555–1.1561: minor support zone
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1.15378: the 38.2% retracement of the May–July rally and a key target on a further breakdown
On the 5-minute chart, the falling 100-bar moving average — currently around 1.16475 and declining — also defines a short-term risk level. Even if the price moves above the 1.16309, getting and staying below the 100 bar MA on the 5-minute chart is more bearish. Note that the MA is moving quickly to the downside, so it will be approaching the 1.1630 level soon.
This article was written by Greg Michalowski at investinglive.com.
