EUR/USD Is Testing the Support at 1.1840

Ever since EUR/USD bounced off from the resistance at 1.2090 at the beginning of September the pair has been consolidating between that level and the support at 1.1840, forming a relatively wide range. Currently the pair is testing the aforementioned support at 1.1840 once again and the question is whether it will finally be able to break out below it. Considering the hanging man candlestick that has formed below the resistance at 1.2090 on the weekly time-frame, the answer to that question is that it is, indeed, quite likely. Should there be a breakout, the pair will probably continue falling towards the next major support level, which is at 1.1600 and coincides with the (MA)89 indicator on the daily time-frame.