EURUSD Continues Downward as the Market Trend Stays Bearish

EURUSD Analysis – Price Continues Downward as the Market Trend Stays Bearish

EURUSD continues downward as the market trend stays bearish. Ever since the attainment of the year’s high, the market’s direction has been downward. The year’s high was attained on February 10, 2022, at the 1.14948 price level. Since the energetic drop in price from the high, the Moving Average Convergence Divergence (MACD) indicator has been spending all its time below the zero level.

EURUSD Major Zones

Demand Zones: 0.9540, 0.9330
Supply Zones: 0.9960, 1.0370


On the 25th of April, 2022, the emergence of a bearish order block was confirmed as the price was delivered energetically downward. As EURUSD kept diving downward, a rebuff at the previous support of 1.0370 caused a return to the bearish order block. The reaction at the bearish order block marked the month’s high for May 2022 at the 1.07868 price level. The double bottom formed in June was used to engineer liquidity to the downside as the market came to clear off the sell-side liquidity.

On the 5th of July, 2022, EURUSD energetically broke the previous support at 1.0370 into the previous demand zone at 0.9960. The market rallied beyond the equal highs on August 10, 2022. The rally happened only to sweep off the buy side liquidity since the market’s overall direction remains downward. On the 12th of September, 2022, the price broke an old high while returning to a bearish order block. The breaker block was formed while the price broke an old high and was used to resume the market’s downtrend in October.

Market Expectation

The market had been rallying upward since September 28, 2022, until the formation of a failure swing last week. The failure swing plus the break of structure on the four-hour chart led the market into the continuation of the overall trend. EURUSD is likely to continue declining in fractals until the 0.9540 demand zone is reached.

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