• EUR/USD could be in a phase of distribution.
• Bears are lurking at the highs of the bull cycle. 

The Euro was mostly flat against the US Dollar at the start of the week. EUR/USD traded between 1.0580 and 1.0505 on Monday. On the charts, the bulls remain on the front side of a daily trendline support, although the trend is decelerating and weak longs are starting to move out ahead of key events this week. 

The following illustrates the bearish bias should the price slide out of the trendline supports:

EUR/USD daily charts

As illustrated, the structure of support required to make way for further downside is located near 1.0450.

EUR/USD H1 chart

The Euro is already breaking a micro trendline on the hourly chart as it decelerates on the bid. A phase of distribution could be in process that would be expected to eventually offer a bearish structure for a downside opportunity.