#EURUSD @ 1.06986 fades previous rebound from the lowest levels in two months., @nehcap view: Further downside expected (Pivot Orderbook analysis)

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• EUR/USD fades previous rebound from the lowest levels in two months.
• Failure to stay beyond short-term key horizontal area, three-week-old falling trend line favors Euro sellers.
• RSI conditions may offer intermediate halt during the anticipated fall towards three-month-old “triple bottom” formation.

The pair currently trades last at 1.06986.

The previous day high was 1.0747 while the previous day low was 1.0672. The daily 38.2% Fib levels comes at 1.0718, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.0701, expected to provide resistance.

EUR/USD remains on the back foot around an intraday low of 1.0685 as it reverses the previous day’s corrective bounce heading into Wednesday’s European session.

In doing so, the Euro pair registers the buyer’s inability to keep the reins past the two-month-old horizontal resistance area, as well as a downward-sloping trend line from May 04.

Additionally favoring the EUR/USD seller is the RSI (14) line which still has some room before hitting the oversold territory, suggesting a gradual south-run of the major currency pair.

As a result, the quote is well-set for a slow grind toward the 1.0600 round figure. However, the triple bottoms near the 1.0530 support zone comprising multiple levels marked since late February appears a tough nut to crack for the EUR/USD bears afterward, especially amid a likely oversold RSI line at that level.

Meanwhile, the aforementioned horizontal region surrounding 1.0700-15 precedes the descending resistance line, close to 1.0725 at the latest, to restrict short-term EUR/USD recovery.

Following that, a 10-week-old horizontal hurdle around 1.0760-65 may act as the last defense of the Euro pair bears before giving control to the buyers.

Trend: Further downside expected

Technical Levels: Supports and Resistances

EURUSD currently trading at 1.0692 at the time of writing. Pair opened at 1.0734 and is trading with a change of -0.39% % .

The pair is trading below its 20 Daily moving average @ 1.0859, below its 50 Daily moving average @ 1.0903 , below its 100 Daily moving average @ 1.0816 and above its 200 Daily moving average @ 1.049

The previous day high was 1.0747 while the previous day low was 1.0672. The daily 38.2% Fib levels comes at 1.0718, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.0701, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 1.0689, 1.0644, 1.0615
• Pivot resistance is noted at 1.0763, 1.0792, 1.0837

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