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EUR/USD Signals Bearish Continuation

The EUR/USD consolidated a bit at the end of last week and into early parts of the current one. It was a little more than 100 pips in price range, and as we can see in the 1H chart, there was nothing much to it.

EUR/USD 1H Chart 1/14

(click to enlarge)

During the 1/14 European session, we saw a ruling from the European Court of Justice that ECB's OMT program is "legal". Essentially, this encourages the prospect of the ECB implementing full-scale QE soon. The EUR/USD continues to be pressured, and broke  below the 1.1754 low, poised to test the 1.17 handle in the current or the upcoming session.

EUR/USD is in a free-fall. We have to look at the monthly chart to assess where it might find support.

The first will be around the 1.1640 area, which were the 2005-lows.Below that the 61.8% retracement of the 2000-2008 secular bull run is just above 1.12. 

EUR/USD Monthly Chart
(click to enlarge)