Taking a look at EUR/USD as the forex pair tested a key support level of €1.0482 earlier in the week, but has bounced since.

Taking a look at EUR/USD as the forex pair tested a key support level of €1.0482 earlier in the week on Tuesday, the price actually dipped below this level before bouncing back on the following day. Currently, the euro is trading at around €1.0547 against the dollar. The resistance now sits at €1.0578, a move above it could potentially lead to an attempted break out of the descending triangle. However, the market bias remains bearish as the ECB is shifting its outlook to lower the rates sooner than expected. Whereas the Fed is expected to keep rates for longer, which in turn is boosting the dollar. Support now sits at €1.0531 (today’s low) then at €1.0500 and then at the previous key level of €1.0482 (lower trendline). A move below the trendline once again could see the forex pair test the new low of the year sitting at €1.0448. If we look over at the technical indicators, it seems like the MACD is trying to turn positive but the RSI is still negative as it reads 40.