**EUR/USD Daily Outlook – Extended Technical Breakdown and Forecast**
*Based on the original analysis by ActionForex.com*
The EUR/USD pair continued to fall in early trading today, reaching a new intraday low at 1.0810, reflecting ongoing bearish pressure as the US Dollar sustains its resurgence. The technical breakdown present in this major currency pair points toward potential continuation of the downtrend, given the failure of key support levels and lack of bullish reversal signals.
This in-depth outlook expands on the technical and fundamental implications surrounding EUR/USD, extending the core ideas presented in the original article by ActionForex.com. The primary goal is to assess the next likely direction of the currency pair, supported by multi-timeframe analysis and a broader macroeconomic context.
### Key Technical Highlights
– **Current Intraday Low**: 1.0810, pointing to sustained weakness in the common currency.
– **Focus on Support at 1.0795**: This level, previously minor support, now acts as an immediate downside target.
– **Daily Support Zone Under Threat**: With continued selling, EUR/USD is eyeing deeper territory, close to the 1.0781 Fibonacci retracement level.
– **Short-term Trend Bias**: Downward bias remains intact unless a clear reversal signal emerges.
### Short-Term Technical Analysis
The near-term trend in EUR/USD continues to be guided by bearish momentum, following the breakdown from the 1.0850–1.0870 zone earlier this week. The 4-hour chart shows that downside pressure hasn’t yet abated.
– **Bearish Impulse Confirmation**: The decline below 1.0810 confirms continuation of the short-term bearish impulse, which started after rejecting resistance at 1.0915.
– **Support at 1.0795**: This level remains the next target for sellers. A sustained breach below it increases the likelihood of further downside toward 1.0781.
– **Fibonacci Retracement Watch**:
– The current leg of the EUR/USD correction follows the drop from the 1.1138 high.
– The 61.8% Fibonacci level of the 1.0601 to 1.1138 rally sits at 1.0781.
– If EUR/USD breaks and sustains below this region, the medium-term uptrend would come under threat, lending credibility to a more persistent bearish move.
### Daily Chart Structure
Over on the daily chart, broader range-bound consolidation continues, yet the momentum clearly favors the bears. Price action repeatedly fails to reclaim 1.0940 resistance, suggesting limited appetite from bulls. Indicators also reinforce bearish control:
– **Momentum Oscillators**:
– RSI has dipped below 50, further confirming a downward-sloping momentum bias.
– MACD histogram turning negative reaffirms the pressure on the downside.
– **Support/Resistance Mapping**:
– Immediate resistance remains near 1.0850. A break above this level would be the first signal of weakening bearish momentum.
– Stronger resistance is located at 1.0915, where several failed attempts to sustain a move above took place in the prior sessions.
– Critical support is located at 1.0781, aligning with the 61.8% Fibonacci level from the previous upward move.
### Medium-Term Picture
Zooming out to the weekly timeframe, a sideways consolidation pattern persists, with the 1.0600 to 1.1100 range protecting the integrity of both bulls and bears. Despite the longer-term bias still leaning toward bullish continuation above 1.0600, the current momentum pullback places that view at risk.
– **Range-Based Trading Behavior**: EUR/USD remains within a wide horizontal consolidation defined since Q4 2023.
– **Weekly Indicators**:
– Momentum indicators continue to flatten out, with no clear recovery yet.
– Unless the pair climbs above the key 1
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