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The EUR/USD pair is sliding sideways and lower after the last volatile week that saw the price testing the level of 1.08 and reverse higher towards 1.12. As long as the price is above 1.08, we could see even a bigger bounce towards 1.14-1.15 over the coming weeks. But if we break below 1.08, we should expect strong downside move towards 1.05 and lower.
Green rectangle area - support
EUR/USD is sliding lower after a big upward spike taken place last week. Short-term support is found at 1.1080, while short-term resistance is seen at 1.1150. The most important levels however traders should focus on are last week's low, the reversal point at 1.0820, and last week's high. A breakout of either of those two levels will strengthen the direction of the breakout.
Blue lines - bullish channel
In the daily chart, the price remains above the Kumo (cloud) after back-testing it last week after the ECB announcement. The bullish scenario implies that the price will push even higher towards the upper blue channel boundary near 1.14-1.15. The bearish scenario will be triggered if we break below 1.0820. This will open the way to more aggressive selling towards 1.05 and most probably even lower.
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