Technical Analysis for EURUSD for 26th May 2023
Euro Bear Trend Continues, Will Prices Slip Below $1.0700?
Past Performance of EURUSD
Sellers are unrelenting, and yesterday marked another day of extension. Prices edged lower as the euro slipped in a bear trend continuation formation. The downtrend remains, and the upside has resistance at around $1.0760, marking March 19 lows.
EURUSD Technical Analysis
Bears dominate, and EURUSD is in a breakout formation, confirming last week’s losses. Moreover, bear bars are riding the lower BB suggesting strong selling momentum. For now, traders can look for shorting entries on lower time frames as long as prices are below $1.0760. Based on the EURUSD candlestick arrangement, the medium-term bear target remains at $1.0500 unless a sharp, high-volume expansion reverses recent losses and drives prices above $1.0850.
What to Expect from EURUSD
Despite the clear trend, how prices react at May 25 lows at around $1.0700 may shape the short-term trend. EUR may recover as the week comes to a close, but if prices remain below $1.0760, the downtrend remains, and bears could still drive prices to $1.0500 in the sessions ahead.
Resistance level to watch: $1.0760
Support level to watch: $1.0700
Disclaimer: Opinions expressed are not investment advice. Do your research.
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