EUR/USD: Downside Movement

EUR/USD drops after retesting the downtrend line. You already know from my analysis that the pair may drop after escaping from the upper channel.

Technically, it could drop further as long as it stays below the downtrend line. The first downside target is at 1.2111 former low. Dropping below this level could signal that the decline will continue.

Trading Conclusion

EUR/USD could drop further after failing to stay above the downtrend line.