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EUR/USD finds support below 1.0800

IronFX UUIIFXBR
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EUR/USD moved somewhat higher, hit resistance fractionally below the 1.0915 (R1) line, and tumbled again to find support below 1.0800, at 1.0785 (S1). The short-term bias remains to the downside and I would expect the rate to continue lower and challenge the next support obstacle at 1.0700 (S2), defined by the low of the 11th of April 2003. Our technical oscillators detect accelerating downside speed and amplify the case for a lower EUR/USD. The RSI, already within its oversold territory, hit resistance near its 30 line and turned down again, while the MACD lies below both its zero and signal lines. With regards to the broader trend, I believe that the pair is still in a downtrend. EURUSD is printing lower peaks and lower troughs below both the 50- and the 200-day moving averages.

• Support: 1.0785 (S1), 1.0700 (S2), 1.0565 (S3).

• Resistance: 1.0915 (R1), 1.1000 (R2), 1.1100 (R3).

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