EUR/USD Price Analysis: Further weakness remains on the cards

• EUR/USD’s bounce stay so far limited around the 1.1920 area.
• The mid-1.1800s emerge as the next contention zone.

EUR/USD gives away part of Monday’s bullish attempt to levels past the 1.1900 yardstick.

If the recovery gathers extra steam, then the door could open to a potential re-visit of the 200-day SMA at 1.1992. There is, however, a minor hurdle at a Fibo level at 1.1976. On the other hand, if sellers regain the upper hand on a convincing fashion, then there is scope for another quick visit to the 1.1850 region.

The outlook for EUR/USD should shift to negative on a sustainable breakdown of the key 200-day SMA. Next weeks are expected to be crucial regarding this issue. 

EUR/USD daily chart