EURUSD Analysis – October 2, 2023

EUR/USD has experienced a continued downside movement from 1.1275, reaching as low as 1.0487.

As long as the price remains within the falling price channel on the 4-hour chart, any bounce observed from 1.0487 should be considered as a consolidation phase within the overall downtrend. The possibility of a further decline towards the 1.0400 area remains.

On the upside, a breakout above the channel resistance would indicate that the downside move might have concluded at 1.0487. In this case, the next resistance level to monitor would be around the 1.0700 area.

Traders should closely monitor the price action within the falling price channel, considering potential breakthroughs or reversals. It is crucial to adapt trading strategies based on current market conditions and keep an eye on any significant developments that may impact the pair.