• EUR/USD comes under pressure and puts 1.0700 to the test.
• Next on the upside comes the 3-month resistance line near 1.0800.

EUR/USD reverses part of the recent upside and retests the area around the 1.0700 level on Tuesday.

Despite the ongoing correction, there is still room for the pair to challenge the 3-month resistance line in the 1.0800 area, above which the selling pressure is expected to alleviate. The breakout of this level should put EUR/USD en route to extra gains with the next target at the weekly high at 1.0936 (April 21).

Looking at the longer run picture, while below the 200-day SMA, today at 1.1248, the medium-term outlook for the pair should remain negative.

EUR/USD daily chart