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EUR/USD May Extend Its Drop!

EUR/USD has increased a little after yesterday's sell-off but it has failed to stay near 1.1835 today's high. The pressure is high, DXY's further growth should send EUR/USD towards fresh new lows.

The FOMC Meeting Minutes failed to weaken the greenback. You should be careful after this high-impact event as the volatility could be huge, anything could happen after this report.

The Euro could lose more ground as the German Industrial Production dropped by 0.3%, even if the specialists have expected to see a 0.5% growth.

EUR/USD Minor Rebound!

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EUR/USD plunged after failing to stay above the weekly pivot point (1.1872) and now is pressuring the Falling Wedges's downside line and the S1 (1.1799) level.

Today's low is seen at the 1.1781 level. Dropping and closing below this level could signal more declines. The pair failed to stay within the ascending pitchfork's body signaling a deeper drop.

Trading Conclusion!

Validating the breakdown through 78.6% retracement level confirmed a deeper drop. Closing and stabilizing under the lower median line (lml) represented a selling opportunity.

EUR/USD should extend its decline if it stays under the S1 (1.1799) and if it closes below the Falling Wedge's downside line.

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