The EUR/USD pair continues to edge lower toward 1.08. In case buyers fail to defend this level, the shared currency is likely to suffer additional losses ahead of the weekend, FXStreet’s Eren Sengezer reports.

Euro's sharp reversal a bad sign for bulls

“Unless the market mood improves in the second half of the day, EUR/USD might find it difficult to stage a recovery.”

“On the downside, 1.08 (psychological level) aligns as the first support. In case this level turns into resistance, further losses toward 1.0760 (post-ECB low) and 1.0730 (April 24, 2020, low) could follow.”

“1.0830 (20-period SMA, 50-period SMA) forms the initial resistance ahead of 1.0850 (Fibonacci 23.6% retracement of the April downtrend) and 1.0880 (100-period SMA).”