The week behind has shown bears breakout below previous day candles lows which led the price to $1.17200 support level.
The week started with small bearish candles and on Wednesday touched the support at $1.17200 and in the following two days reversed up to $1.18000.
The price reversed on Friday which is a day when the traders get out from the market. Having strong support $1.17200 counted in it makes sense the price reverses. Lots of traders were closed at the support and they pushed the price higher.
$1.18000 is a round number which acted as a resistance for the price and now the market looks like it has tested the resistance before the next move down.
As a first step for the price to move down and to confirm the $1.16187 as the next target is to close below $1.17200.
$1.17200 is now a breakpoint for the EURUSD pair.
If it the breaks below, strong support will be at $1.16187. This level has history for this pair where it held the price in the past from falling further down.
We have a weekly uptrend line broken and now tested which is another signal the price could move down.
If it reaches $1.16187 support level from there we will see where the market could move.
For the bullish scenario we need to see the price above $1.19000 level. You can see the price could not close $1.19000 above in the previous attempt which means bulls do not have enough strength to push the price higher.
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