EUR/USD Technical Analysis: Euro Declines After Forming Bearish Candlestick Pattern

W1 price is located below 200 period SMA (200 SMA) and below 100 period SMA (100 SMA) for the primary bearish with secondary ranging between 1.0607 support level and 1.1956 resistance level:

• "The Euro moved downward against the US Dollar as expected after prices put in a bearish Dark Cloud Cover candlestick pattern. Sellers now aim to challenge support below the 1.13 figure, with a breach putting the fate of the upswing from mid-March in play."
• "A daily close below 1.1254, the intersection of the 38.2% Fibonacci expansion and a rising trend line set from early August, opens the door for a test of the 50% level at 1.1180. Alternatively, a reversal above the 23.6% Fib at 1.1346 clears the way for a challenge of the 14.6% expansion at 1.1402."
• "While it is tempting to take up a short position in line with the long-term trend and broad-based fundamental considerations, we will tactically stand aside. The available trading range is narrower than 20-day ATR, tilting risk/reward parameters against triggering a trade. With that in mind, we remain flat until something more compelling presents itself."

Trend:

• W1 - ranging bearish