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Will EUR/USD break lower once more?
EUR/USD has been selling off sharply, with price dropping out of a rising channel that has been in play overnight. Given that we have seen this pair seemingly top off from $1.0944 resistance to fall back into the descending channel that has dominated the past month, there is good reason to believe we could see further downside.
The key to this would be a closed hourly candle below $1.0854, which would provide a bearish signal. An inability to do so could see the pair push back towards $1.0890. Thus, $1.0854 is crucial here, where a close below this level would provide a bearish view, with support levels $1.0834, $1.0808 and $1.0805 coming into view.
Resistance levels of note are $1.0890, $1.0904 and $1.0944.