“¢ The pair struggled to capitalize on this week’s attempted recovery move from sub-1.1200 level and has been oscillating in a narrowing trading band over the past 24-hours or so.
“¢ The downside has been finding some support near a short-term ascending trend-line, while upticks remain capped by another descending trend-line extending from March 27 swing highs.
“¢ Against the backdrop of the recent downfall, the combination of two converging trend-lines constituted towards the formation of a bearish continuation pennant chart pattern on hourly charts.
“¢ Meanwhile, neutral technical indicators on hourly charts haven’t been supportive of a firm intraday direction but maintained their bearish bias on the daily chart, suggesting further downside.
“¢ A convincing break through the pennant support will reinforce the bearish bias and turn the pair vulnerable to accelerate the fall back towards challenging YTD lows, around the 1.1175 region.
EUR/USD 1-hourly chart
-636900620329260032.png)
Share
