EUR/USD Price Analysis: Bears keeping a lid on bullish correction

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  • EUR/USD is on the front side of the bearish trend, submerged in the low 1.07s.
  • Bears eye a downside extension for the coming days while below 1.0800.

EUR/USD hit a 9-week low of 1.0701 on the US Dollar´s strength as expectations increased that the US Federal Reserve will deliver another rate hike. The market is penetrating into a key area of potential support as the following will illustrate:

EUR/USD daily charts

As illustrated in the above daily charts, the price is submerged below the trendline resistance and touching into a space that could give way to a move even lower in the coming days. 

On the hourly chart, the price has broken structure on the left and has found demand around 1.0700. However, if resistance holds, we could see the start of the downside extension.