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EUR/USD - Support at 1.0350 Looks Vulnerable

EUR/USD found support at 1.0350 several times since mid-December. However I would not trust this support to provide any bullish outlook. The reason is pretty simple and basic - we have a failed bullish attempt in a bearish market. It looks like bears are still in charge.

EUR/USD 4H Chart 1/4

(click to enlarge)

Prevailing Bearish Trend:
- First of all, we should note that the prevailing trend is bearish.
- Furthermore, the 1.0480 area was a critical support that went back to 2015 (see in weekly chart). 
- Basically the bearish trend is intact.

Breakout Attempt:
- Since mid-December, price has been consolidating sideways.
- Then, we saw a bullish pop right around the end of the year. 
- Price went to test a previous common resistance around 1.0650 and was rejected.
Cracked Support:
- Price then fell right back into the consolidation range and is now cracking the range support.
- Now, we are seeing some buying from this 1.0350 support area, but I do not have faith in this rally. 
- I think there is further downside in EUR/USD with the 1.03 handle as a possible next target under 1.0350 in the short-term. 

EUR/USD Weekly Chart 1/4

(click to enlarge)