EUR/USD Price Analysis: On the back foot below 1.1300 inside monthly falling channel

• EUR/USD struggles to keep the previous day’s corrective pullback.
• Seven-week-old descending trend line, 200-SMA restrict immediate recovery.
• Channel support, yearly low test short-term declines before 61.8% FE level.
• Steady RSI line keeps sellers hopeful, bulls have a bumpy road to return.

EUR/USD grinds lower around 1.1280 amid the initial Asian session on Tuesday, despite the week-start rebound.

In doing so, the major currency pair stays inside a three-week-old downward sloping trend channel, needless to mention about trading below the 200-DMA and a descending resistance line from late October. Given the steady RSI conditions, the EUR/USD pair’s weakness is likely to prevail.

The same gradually directs the pair prices towards the stated channel’s support line, around 1.1215 by the press time.

Should the EUR/USD sellers reject stepping back from 1.1215, the yearly low near 1.1185 will be in focus ahead of the 61.8% Fibonacci retracement level of November 09-30 moves near 1.1120.

On the flip side, the stated resistance line restricts immediate advances near 1.1290, a break of which will challenge the 200-SMA and the channel’s upper line, respectively around 1.1340 and 1.1355.

Even if the EUR/USD bulls cross the 1.1355 hurdle, 1.1375, the 1.1400 threshold and mid-November peak close to 1.1465 should flash on their radars.

EUR/USD: Four-hour chart

Trend: Further weakness expected