EUR/USD OutlookEuro/US DollarFX:EURUSDHenrybillionEUR/USD Outlook – Weak High Forming at 1.1700 and Potential Reversal Setup The latest price action on EUR/USD shows a strong impulsive push breaking multiple structure points, but the current rejection around the 1.1700 psychological zone highlights a potential exhaustion area. Market structure suggests that the newly created high remains weak, increasing the probability of a downside correction toward deeper liquidity zones. Market Structure Overview The pair previously traded inside a descending wedge, with repeated CHoCH and BOS events confirming internal liquidity sweeps. The breakout from the wedge structure triggered a bullish expansion, pushing price toward the imbalance left behind. However, the bullish leg has now reached the upper supply region, aligning with the last BOS high, where sellers may begin stepping in. Key Technical Insights 1. Weak High at 1.1700 The latest high does not demonstrate strong displacement. The rejection wick and immediate retracement signal that buyers may lack momentum to break higher. This level aligns with previous inefficiency and a supply block. 2. Break of Structure and Imbalance Fill The bullish impulse broke above the BOS level but quickly met supply. The move seemed driven by liquidity grabs rather than genuine continuation interest. Once the imbalance is completed, price often returns to discount levels. 3. Downside Liquidity Targets The chart shows three visible demand zones where price previously created displacement: First demand zone: 1.1640 – 1.1645 Second deeper zone: 1.1613 – 1.1620 Final extreme discount zone: 1.1595 – 1.1600 These levels align with unmitigated buy-side imbalances. 4. Trendline interaction The red descending trendline, broken with a sharp displacement, now acts as a structural marker. A retest of the trendline region may attract sellers aiming for corrective moves. Trading Strategy Outlook Bearish Scenario (higher probability due to weak high) If EUR/USD fails to reclaim 1.1705 with a strong candle close, sellers may target: 1.1645 → 1.1620 → 1.1600 A clean CHoCH on lower timeframes would validate the reversal. Bullish Scenario (requires strong displacement) Buyers need to break above 1.1710 with momentum to invalidate the weak high. Only then would continuation toward 1.1750 become realistic. Conclusion EUR/USD is currently forming a fragile high at 1.1700 after a large breakout. Structural signals, imbalance completion, and supply pressure all support a potential downside correction toward deeper demand zones. Traders should monitor price behavior closely around the weak high and prepare for a liquidity-driven move to the downside.