Market Analysis: EUR/USD Dips Again

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Market Analysis: EUR/USD Dips Again

EUR/USD declined from 1.1720 and traded below 1.1650.

Important Takeaways for EUR/USD Analysis Today
- The Euro started a fresh decline after a decent move above 1.1680.
- There was a break below a key bullish trend line with support at 1.1650 on the hourly chart of EUR/USD.

EUR/USD Technical Analysis
snapshot
On the hourly chart of EUR/USD, the pair rallied above the 1.1680 resistance zone before the bears appeared, as discussed in the previous analysis. The Euro started a fresh decline and traded below 1.1660 against the US Dollar.

There was a break below a key bullish trend line with support at 1.1650, and a low was formed near 1.1622. After that, the pair started a consolidation phase.

There was a minor recovery wave above 1.1630. EUR/USD is now trading below 1.1650 and the 50-hour simple moving average. On the upside, the pair is now facing hurdles near the 23.6% Fib retracement level of the downward move from the 1.1692 swing high to the 1.1622 low at 1.1640.

The next key resistance is 1.1655 and the 50% Fib retracement. The main barrier for the bulls could be 1.1665. A clear move above 1.1665 could send the pair toward 1.1690. An upside break above 1.1690 could set the pace for another increase. In the stated case, the pair might rise toward the 1.1720 zone.

If not, the pair might resume its decline. The first major support on the EUR/USD chart is near 1.1620. The next important region for buyers sits at 1.1600. If there is a downside break below 1.1600, the pair could drop toward 1.1550. Any more losses might send the pair toward 1.1500.

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