EURUSD Bearish Reversal at Resistance – Shorts FavouredEuro/US DollarFX:EURUSDMR_GOLD_12EUR/USD is currently experiencing a bearish trend, confirmed by both technical indicators and fundamental factors chart shows price within a descending channel, forming lower highs and lower lows, indicating sellers are in control. EURUSD the trend remains bearish, with the EMA50 providing dynamic resistance. The Elliott Wave pattern and price action point to a further drop below 1.1700, confirming the downward momentum. If 1.1700 breaks, the pair could quickly head toward 1.1625, which is a crucial support level. on the fundamental side, the US Dollar remains strong due to ongoing inflationary concerns and hawkish Fed expectations, delaying rate cuts into late 2026. This is keeping US yields elevated, further pushing the dollar up and applying pressure on EUR/USD. Additionally, geopolitical tensions in the Middle East are fueling a risk-off sentiment, where the dollar benefits as a safe haven. On the euro side, Germany's growth forecast has been downgraded, and overall Eurozone growth is slowing, adding further bearish pressure to the EUR. Moreover, the European Central Bank (ECB) remains uncertain about future rate hikes, which is making investors cautious about the euro, despite rising inflation from energy costs linked to the ongoing conflict in the Middle East. The ECB's indecision about further tightening contrasts with the Fed’s clear stance, creating further divergence between the euro and dollar. Tecnically the combination of strong US fundamentals, weak Eurozone outlook, and bearish technical signals all suggest that EUR/USD will likely continue to trend lower, targeting 1.1660 and 1.1625. A break below these levels could lead to further downside, with key levels around 1.1600 to watch closely.