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EUR/USD showing signs of weakness
The bearish EUR/USD picture is finally starting to come through once more, with Friday’s sharp sell-off leading to a break below the near-term $1.0563 support level. This morning’s rally is expected to be a fleeting one and, as such, a break lower is expected before long.
An hourly close below $1.0552 would be a signal that this next leg lower is occurring. Should that happen, it is likely the selling will ramp up, as it adds greater confidence that this reversal is in play. A break above $1.0618 would be required to negate the bearish implications of Friday’s sell-off.