The EURUSD has moved back to the downside after a modest rebound after US PPI and the Lagarde press conference. The ECB president did not rule out or endorse a June cut (data dependent). She did say, however, that the US and EU situations are different, which may give sellers increased hope of an earlier cut from the ECB vs the Fed.
The pair is retesting the 61.8% retracement of the move up from the October 2023 low to the December 2023 high. That level comes in at 1.07133. Right below that level, and traders would look toward the 2024 low at 1.0694 from February 14. Below that and traders will target a swing area between 1.0655 and 1.0675.
The corrective move off of the PPI to find willing sellers early against the target at 1.07605 (as outlined in the kickstart video today). The inability to move above that level kept the sellers in control.