What cannot go up...
Friday's price action in EUR/USD was a clear indicator of near-term bias in the pair. US payrolls were a tad on the softer side (wages stagnant, print a little weaker than expected) and the dollar fumbled a little with the yen capitalising on that for the most part.
EUR/USD did manage to find its way towards the 1.1600 handle but offers there halted any further advance and the pair fell thereafter.
Currently, price trades near the session low for the day with the greenback leading the charge in trading so far. The trading range remains narrow, but if something can't rally on the back of good news (or bad news from its counterpart) then there's only one other way it can go.
Right now, price is looking towards a retest of the lows this year in the region of 1.1510-30. But if anything, look for strong bids to sit at the 1.1500 figure level and just around that if we do get there today.
In the grand scheme of things, a more prominent price action may be playing out - and it's something many of our commenters here have pointed out too:
The head-and-shoulders pattern looks more visible on the weekly chart
And that will be something to consider if you're looking at a longer time frame in your trading.
