EURUSD Daily Analysis – May 24, 2023

The EURUSD currency pair has recently experienced a significant development as it broke below the key support level at 1.0759, indicating a resumption of the downside move from 1.1091. This break has shifted the near-term outlook for the pair, leading traders to anticipate further declines in the coming sessions.

With the breakdown below 1.0759, the pair is expected to face continued selling pressure, potentially pushing the price towards the next support level at 1.0710. If the bearish momentum persists, the pair could target the 1.0600 area as the next downside objective. Traders should closely monitor the price action around these support levels, as they could play a significant role in determining the extent of the downward move.

On the upside, a near-term resistance level is observed at the falling trend line on the 4-hour chart. The price would need to surpass this trend line resistance to challenge the next resistance level at 1.0831. A breakout above these levels could potentially bring the price back towards the key resistance level at 1.0909. Traders should closely watch how the price reacts to these resistance levels, as they could signal a shift in the overall sentiment.

In conclusion, EURUSD has broken below the 1.0759 support level, signaling a resumption of the downtrend from 1.1091. Further downside movement towards 1.0710 and 1.0600 could be expected. Near-term resistance levels are seen at the falling trend line and 1.0831, with the key resistance level at 1.0909. Traders should consider various factors and employ sound risk management strategies while navigating the EURUSD market.