EUR is a currency of the European nation while USD is a currency of the USA nation. Both currencies are used to conduct different daily transactions on the respective jurisdiction. On Monday the 2nd of August, one EUR started trading at around $1.18750 . On Monday the same week, the price had managed to go as high as 1.18955 but slightly dropped to around 1.18660 on Tuesday the same week. The price further rises as high as 1.18930 On Tuesday the same week followed by another drop to 1.18419 on Wednesday the same week. On Wednesday the same week, the price again rises to around 1.18990 but later dropped to around 1.18300 on Thursday the same week. Currently, the price is at around 1.18380 and it has started to move upwards which will not last for longer. This upward and downward movement is as a result of traders behaviour which can further be explained as from below;
Traders behaviour
Traders in the financial market affect the way different trading pairs move. For EURUSD, we can say that when the market is moving upwards, that will be an indication that the number of sellers are more than the number of buyers. On the other hand, when it is moving downwards, that will be an indication that the number of buyers are more than the number of sellers. Since there is possibility of this market to be bearish in the coming days, the EURUSD market can further be explained as from below;
- EURUSD bearish trading analysis
In a bearish market, the EURUSD pair will be moving in a downwards direction. On Monday the 2nd of August 2021,one EUR started trading at around $1.18750. The price was able to goas high as 1.18955 the same day but later dropped to around 1.18660 the following day. It later rises to around 1.18930 on Tuesday the same week. On Wednesday the same week, it dropped to around 1.18419 but later rises to around 1.18990 on the same day. By Thursday the same week, the price had managed to go as low as 1.18300. Currently, the price is trading below 1.18300 and there is possibility of this downwards trend to continue. This trend for this currency pair is being indicated as from the candle sticks chart below; 
The above is the market for EURUSD. There are two points being indicated. Point A and B. Before A, the market can be seen to have moved as low as 1.1840 from its previous high of 1.18800.This downwards movement is as a result of the number of buyers being more than sellers . At 1.1840,there are more number of sellers placing their short positions in the hope that the market will continue moving downwards. Because of this, the sellers exceeds the buyers thus causing the market to gain support and moves upward to point A at 1.1900. At point A, more number of buyers are placing their long positions in the hope that the market will continue moving upwards. This again creates a resistant point at point A thus causing the market to reverse and moves downward at around 1.18300. At 1.18300,the buyers who were holding their long positions are beginning to close their positions and open a short position in the hope that the market will continue moving downwards. This again causes the market to gain a support point over there and slightly moves upward to point B at 1.18600. At point B, there are more buyers again placing their buy positions thus causing an overbought condition over there. This causes the market to resist to continue moving upwards but instead reversed and is beginning to move downwards. If the buyers will continue to exceed the number of sellers, there is possibility of the market to move downwards further to below 1.1800 while if the sellers will exceed the buyers, then the market will not move downwards but will instead gain support and moves upward. Make sure to apply risk management and strategy well whenever your position is running
