•Yesterday EUR/USD broke the support around 1.1822 [Aug.31 low]. Today the pair touched a new low at 1.1741 and currently trading around 1.1757.
•The downside correction could deepen to 1.1730 (Fib 23.6% of April – September rally), if broken, could pave the way toward 1.1660 [Aug.17 low]. The key support for EURUSD stands at 1.1550 [100 DMA].
•In the 4 hours chart, the 20 SMA has crossed below the 100 and 200 SMA, reflecting the strong selling momentum that would likely extend over the upcoming sessions, as long as selling interest contains the upward corrections in the 1.1822 region.
•Support: 1.1730, 1.1690 & 1.1660.
•Resistance: 1.1790, 1.1822-30, 1.1880 [H4 200 SMA].
•Recommendation: Sell on rallies around 1.1830 with SL at 1.1860 and TP at 1.1772 & 1.1730.