EURUSD Daily Analysis – June 8, 2023

The EURUSD currency pair has continued its sideways movement, trading within a range between the key levels of 1.0635 and 1.0778. The pair’s price action suggests a period of consolidation for the ongoing downtrend.

While the price remains within the falling price channel on the 4-hour chart, the current sideways move can be viewed as a temporary pause or consolidation phase within the larger downtrend. Traders should closely monitor the price action for a potential breakout from the range.

A breakdown below the lower range boundary at 1.0635 could indicate a resumption of the downtrend and potentially lead to a further decline towards the support level at 1.0580. Such a move would signal renewed selling pressure in the market and may attract additional bearish sentiment.

Conversely, a breakout above the upper range boundary at 1.0778 would suggest a potential shift in the market sentiment. This breakout would indicate that the consolidation phase is complete and open the door for a potential recovery in the EURUSD pair. The next targets to watch for would be the resistance levels at 1.0831 and 1.0909.

To summarize, EURUSD is currently consolidating within a trading range between 1.0635 and 1.0778. While the price remains within the falling price channel, the consolidation can be viewed as a pause in the overall downtrend. Traders should monitor for a potential breakout from the range, with a breakdown below 1.0635 indicating a continuation of the downtrend and a breakout above 1.0778 suggesting a possible trend reversal. Stay updated on market developments and employ sound risk management strategies to navigate the EURUSD market effectively.