Forex: EUR/USD forms daily bearish engulfing as 1.2930 penetrated

FXstreet.com (Barcelona) - The Euro/US Dollar has extended its fall late in the NY session as liquidity get thinner. The exchange rate has officially entered demand area between 1.2930/2900 following the excess of buying interest that existed right around that area last April 4. For now, the lowest level seen is at 1.2913.

Interestingly, the EUR/USD daily candle (from a NY close perspective) has formed a bearish engulfing bar with risks now skewed to the downside for further falls should a convincing break of recent lows occur.

As mentioned, the pair is now into demand sensitive territory, with additional conventional support spotted at 1.2875/80 as per April 2 swing high and 1.2840 (intraday level). On the upside, watch 1.2930 as immediate supply as per recent breakout point return ahead of 1.2965 (intraday level) and 1.30 round number.