The euro price against the dollar (EURUSD) has retreated during its recent intraday trading, affected by a negative technical pattern forming in the short term, which is the head and shoulders pattern, with continued negative pressure due to its trading below its simple moving average for the past 50 periods. The pair is preparing in its recent trades to break the pivotal support level of 1.1260, which may be a key to confirming further decline.
What reinforces this bearish scenario is that the price movements currently came after it successfully managed in its previous trades to relieve some of the clear selling saturation indicated by the relative strength indicators, which enhances the negative outlook in the intraday timeframe, and we are now noticing the re-emergence of a negative crossover in these indicators.