EUR/USD Price Analysis: Downside holds around 1.0780… for now

• EUR/USD drops further and printed new 2020 lows near 1.0780.
• Immediately below emerges 1.0710 (monthly low January 2016).

EUR/USD remains entrenched into the negative territory so far this year and there are no signs of even the slightest recovery, at least in the short-term horizon.

In the meantime, extreme “oversold” conditions in the pair could trigger some corrective rallies, although these are seen as selling opportunities for the time being. So far, the area around 1.0815 has acted as a decent barrier for bullish attempts.

While sellers remain in total control, the next target on the downside aligns in the 1.0700 neighbourhood, the January 2016 low. A visit to this level, however, looks unlikely for the time being, as it would need a serious deterioration of the pair’s outlook.

EUR/USD daily chart