EUR/USD Bearish Setup Unfolding Below Key Resistance

📊 Technical Analysis of EUR/USD (4H Chart)
🧭 Chart Overview:
Current Price: ~1.1350

Indicators Used:

EMA 50 (Red): ~1.1311 — acting as dynamic support.

EMA 200 (Blue): ~1.1114 — aligns closely with major support zone.

📌 Key Levels:
🔼 Main Resistance Zone: 1.1375 – 1.1400
Price has tested this zone multiple times, forming a potential double top pattern.

Strong bearish pressure observed each time price enters this area.

🔁 Minor Resistance (Retest Zone): ~1.1325 – 1.1345
Currently acting as a decision zone.

If price fails to hold above this level, it could turn into resistance on the next bearish leg.

🔽 Support Zone: 1.1100 – 1.1130
Converges with EMA 200 — making it a high-probability demand zone.

Potential target for the anticipated drop.

🧠 Price Action & Structure:
Market showed a strong bullish rally previously, breaking through resistance levels.

Now showing signs of exhaustion at the top.

Bearish scenario projected with a lower high forming below the main resistance, followed by a sell-off toward the support zone.

⚙️ Possible Scenarios:
Bearish Scenario (High Probability):

Price rejects the minor resistance → breaks below EMA 50 → continues lower to support.

Target: 1.1110 area.

Bullish Scenario (Low Probability):

Price reclaims and closes above 1.1375 with strong momentum.

Potential breakout and continuation toward 1.1450+.

🧩 Confluences Supporting Bearish Bias:
Lower high formation potential.

EMA 50 starting to flatten.

Failure to maintain momentum above main resistance.

Clean drop path toward 1.1110 if support breaks.

📉 Conclusion:
This setup favors short-term bearish movement, particularly if the price rejects around the 1.1345 level again. A breakdown below the minor resistance zone would likely trigger a sell-off toward the 1.1110 support, in line with the 200 EMA.