EUR/USD Bearish Reversal Setup Analysis

EUR/USD Bearish Reversal Setup Analysis 🧠💼

The chart presents a clear bearish outlook on EUR/USD, with well-defined resistance and support zones, along with a projected short-term price trajectory. Here's a professional breakdown:

🔍 Key Technical Highlights
🔵 Resistance Zone (~1.1400 - 1.1430)
Price recently tested this resistance area and formed multiple wicks, signaling strong seller presence.

A bullish liquidity grab is evident in the highlighted cyan box, suggesting a fake breakout before reversal.

🟡 Supply Zone / Order Block
The yellow box marks a previous consolidation area (potential order block), which was revisited and rejected — reinforcing bearish intent.

🔽 Current Price Action
Price is trading around 1.1378, having broken structure and failed to maintain momentum above the resistance.

Sharp rejections and bearish engulfing candles imply strong selling pressure.

🟢 Support Zone (~1.1230 - 1.1260)
This is a previous demand area where price rallied strongly.

The large blue projection box and arrow suggest a bearish continuation targeting this support region.

📉 Bias: Bearish
Structure: Lower highs forming after liquidity grab.

Price Action: Bearish engulfing after resistance rejection.

Market Sentiment: Sellers appear in control after failing bullish breakout attempt.

🎯 Trade Idea
Entry: After confirmed rejection from resistance (~1.1370–1.1385)

TP: Around 1.1240 (support zone)

SL: Above recent highs (~1.1420)

Risk/Reward: Favorable R:R as the setup targets a large swing down.