- EUR/USD is at the forefront of the downtrend, dipping at lows of 1.0750.
- Bears are contemplating a bearish extension for the next few days as long as it stays below 1.0800.
EUR/USD hit a 9-week low at 1.0701 on the strength of the US Dollar, as expectations of the US Federal Reserve to carry out a further rate hike increased. The market is entering a key area of possible support, as will be seen below:
EUR/USD daily chart
As illustrated in the daily charts above, the price is dipping below the trend line of resistance and touching a gap that could lead to an even lower move in the coming days.
On the hourly chart, the price has broken the structure on the left and has found demand around 1.0700. However, if the resistance holds, we could see the start of the extension to the downside.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.