EUR/USD rebounding after sharp sell-off
EUR/USD suffered at the hands of a strong dollar, with the pair breaking below the crucial $1.0719 support level. This confirms it was GBP/USD leading the way when we were seeing mixed messages across the markets earlier this week.
The current rally looks like a short-term one, set within a wider move lower. A bearish outlook is in play unless we break through the $1.0773 swing high. The wider trend looks like we may have bottomed out, with the current pullback likely to find support between $1.0652 and $1.0592 (61.8-76.4%). As such, we should see further downside, with any short-term rally to be sold into.