EUR/USD faces a stern test in the days ahead, battling divergent fundamentals, increasing risk aversion and a technical backdrop that’s as bearish as any in the G10 FX universe right now. The daily chart doesn’t make for pleasant viewing for EUR bulls with the pair talking out support level after support level during the past few months, leaving it perilously close to fresh year-to-date lows. While RSI is oversold near-term, both the indicator and price action leave little doubt that downward momentum remains in the ascendancy. Throw in a looming ‘death cross’, with the 50-day MA about to cross the 200-day equivalent ... (full story)