EURUSD H1 – No Breakout Yet, Trend Still Bearish

EURUSD is currently trading inside a well-defined descending channel on the H1 timeframe. The price has respected this channel structure multiple times, confirming a short-term bearish trend.

Key Technical Observations

• 🔻 Descending Channel:
  Price continues to make lower highs and lower lows, showing bearish momentum.

• 📉 Dynamic Resistance:
  The upper boundary of the channel and moving averages are acting as strong resistance.

• 📊 Moving Averages:
  Price is trading below the short-term moving averages, indicating selling pressure remains dominant.

• 🔁 Pullback & Rejection:
  Recent candles show rejection from the channel midline, suggesting sellers are still active.

• ⚡ Upcoming Volatility:
  Economic event icons on the chart indicate possible volatility ahead, which may accelerate the current trend.

EURUSD Trading Signal (Sell Setup)

🔴 Sell Signal Details

• Trade Type: Sell
• Entry Zone: 1.1720 – 1.1730
• Stop Loss: 1.1765
• Take Profit 1: 1.1690
• Take Profit 2: 1.1665
• Risk–Reward Ratio: 1:2 or better

Trade Explanation

As long as EURUSD remains below the descending channel resistance, the bearish bias stays intact. Any pullback toward resistance can be used as a selling opportunity.

A confirmed H1 candle rejection near the resistance zone strengthens the sell setup. If price breaks and closes above the channel, the bearish setup will be invalidated.

Alternative Scenario (Invalidation)

❌ Bearish bias invalid below:

• If EURUSD closes above 1.1765 on H1, the sell setup becomes invalid.
• A breakout above the channel could shift momentum to the upside.

Trading Tips

• ✅ Always wait for candle confirmation before entry
• ⚠️ Avoid over-leveraging during news events
• 📌 Use proper risk management (1–2% per trade)

Conclusion

EURUSD remains bearish on the H1 timeframe, respecting a clear descending channel. Until a confirmed breakout occurs, sell-on-retest strategies are favored.

📉 Trend: Bearish
🎯 Bias: Sell rallies
⏳ Timeframe: Intraday / Short-term

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