The euro is trading around 1.1142, below -1/8 Murray and the 21-day simple moving average (SMA), under downward pressure; however, as we can see on the H4 chart, the euro could reach support levels around 1.1108.

In the chart above, we can see that the euro is moving within a primary downtrend channel and a secondary downtrend channel, and we observe that the price has reached the lower band of the downtrend channel. In the coming hours, we could expect a technical bounce if the price consolidates above 1.1135.

If the euro rebounds above 1.1138 in the coming hours and consolidates above this level, it could be considered a buy signal with targets at 1.1197 or 1.1203, near the top of the upper band of the downtrend channel.

A decisive break above the 21-period simple moving average (SMA) and the secondary downtrend channel could be considered a positive signal, and we could buy with targets at 1.1230 and around the Murray 0/8 level. Even if the bullish momentum prevails, the euro price is expected to return to the 1.1302 level.

The Eagle indicator shows a negative signal; however, we also note that the price has reached support levels, so a technical bounce toward 1.12 or 1.1230 would be considered a signal to continue selling in the coming days.