EUR/USD dropped further towards the 1.0550-55 lows amid risk aversion, but a potential bullish divergence is seen on the 4H RSI as marked here. A pullback is overdue at least towards the 1.0740-50 zone before the drop could continue further. On the flip side, the ongoing slide from the current levels could lead the instrument down to 1.0400 and lower.
EUR/USD has either completed its drop from 1.1275 or is very close to terminating and turning higher to produce a meaningful pullback. The next short-term support is now seen towards 1.0510-20 which should provide the necessary bounce. Also, note that a pullback from here has the potential to push the price down to 1.1000 going forward.
EUR/USD has carved a meaningful downswing between 1.1275 and 1.0550-55 and the bulls would be poised to produce a pullback rally at least towards 1.0740-50 which is initial resistance. A break above 1.0610 will confirm that a bottom is in place and the bulls are back in control to push through 1.0750.
Trading idea:A potential counter-trend rally is to resume soon towards 1.0750 and up to 1.1000
Good luck!