• EUR/USD navigates the area of 2021 lows near 1.1360.
• A drop below 1.1350 opens the door to a deeper pullback.

EUR/USD remains under heavy pressure and keeps navigating the area of the recent YTD low near 1.1350.

The continuation of the downtrend appears favoured in the short-term horizon. That said, the 2008-2021 line emerges as a critical support around 1.1350. A break below this area in a convincing fashion exposes a retracement to, initially, July 2020 low at 1.1185 ahead of 1.11688 (low June 19 2020).

In the meantime, extra losses remain on the cards as long as the pair trades below the immediate resistance line (off September’s high) today near 1.1620. In the longer run, the negative outlook persists while below the 200-day SMA, today at 1.1869.

EUR/USD daily chart