EUR/USD traded at 1.1548 on the 4-hour chart after a sharp decline from the 1.1645 level. Price is below both moving averages and a descending trendline and the latest move has price trading below the 1.1554–1.1559 resistance level. This structure remains bearish despite a pause of sellers at support.

The level to watch first is 1.1556. A break above this level opens 1.1573, then 1.1589 and 1.1604. Support is found at 1.1523, but should selling pressure return, 1.1501 and 1.1484 will become more relevant.

RSI is showing an initial recovery from oversold, but still remains in the lower range, which shows the correction is likely still a correction. My view for now is slightly bearish while EUR/USD is trading below 1.1556-1.1573. A break above 1.1589 calls for a revision of this view. A break below 1.1523 argues more selling pressure should be expected to drive the price lower.