FX.co ★ EUR/USD hovering above 1.0519 support

The EUR/USD pair is trading in the red at 1.0524 at the time of writing. The bias remains bearish despite temporary rebounds, so more declines are natural. The Dollar Index's rally formed the USD to dominate the currency market.

Today, the Euro tried to rebound and recover also because the Eurozone Industrial production reported a 0.6% growth versus the 0.1% growth estimated. Still, only the US Prelim UoM Consumer Sentiment could really shake the markets. The economic indicator is expected at 67.2 points below the 68.1 expected.

EUR/USD Under Strong Bearish Pressure!

Technically, the pair tried to come back higher but it failed to retest the lower median line (lml) signaling strong downside pressure. It has failed to stay above the weekly pivot point of 1.0540 and now it has turned to the downside.

It challenges the former low of 1.0519 which represents a key downside obstacle. As you already know from yesterday's analysis, dropping below the lower median line (lml) opened the door for more declines.

EUR/USD Outlook!

Dropping and closing below 1.0513 former low is seen as a selling signal. The warning line (wl1) stands as a potential downside target.