By the end of February, Near the price level of 1.2250, Significant SELLING Pressure was found. Since then, the current downtrend has been initiated.
Shortly after, the price zone around (1.1990) provided some temporary buying pressure.
However, this recent short-term upside movement was terminated due to lack of sufficient buying momentum.
Another downside movement was expressed towards 1.1840. Breakdown below it triggered another downside movement towards 1.1780-1.1750 which failed to hold for a while.
Further bearish decline extended towards 1.1710 which provided BUYING Pressure while being tested.
Hence, an upside pullback was expected to pursue towards 1.1840 & 1.1990. Both levels failed to provide sufficient bearish pressure.
Now, the price zone of 1.1990 stands as a prominent SUPPORT-Zone for the EURUSD pair.
More upside movement was expected to pursue towards 1.2110 (backside of the broken trendline) where price action was watched cautiously. Signs of bearish rejection were manifested on the chart.
Currently, any breakdown to the downside below 1.1990 should bring SELLING Pressure into the market for more downside movement towards 1.1940 & 1.1870 initially.
The material has been provided by InstaForex Company – www.instaforex.com