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EURUSD refreshes multi-day low, 1.1655 can trigger a bounce

Short
FX:EURUSD   Euro / U.S. Dollar
EURUSD drops to the fresh low since November 2020 during early Thursday amid broad US dollar strength. While a clear downside break of the 1.1700 threshold keeps the pair sellers hopeful, a downward sloping trend line from mid-June joins the oversold RSI conditions to challenge the further losses around 1.1655. It’s worth noting that the pair’s refrain to bounce off 1.1655 will make it vulnerable to visit the late 2020 lows near the 1.1600 round figure.

During the anticipated bounce, the 1.1700 level guards immediate upside before the last month’s low near 1.1755. Should EURUSD bulls keep the reins past 1.1755, the monthly high around 1.1805 will return to the charts. However, 50-DMA and a two-month-old resistance line, respectively around 1.1845 and 1.1870, could challenge the pair buyers afterward. To sum up, the major currency pair remains on the bearish trajectory but intermediate bounces can’t be ruled out.

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