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EUR/USD analysis for May 10 2021 - Bear flag in creation and potential for drop towards 108.35

Technical analysis:

analytics60991b1c458a2.jpg

USD/JPY has been trading downside last week and I see potential for the downside continuation today.

Trading recommendation:

Watch for potential selling opportunities on the rallies with the downside targets at 108.35 and 107.50.

Based on the 4H time-frame, there is the bearish flag pattern in creation, which is good sign for further downside continuation.

There is bear flag pattern based on the last drop, which is good sign for downside movement.Resistance set at 109.00

The material has been provided by InstaForex Company - www.instaforex.com