Alan Collins believes there's still scope for further downside action in EURUSD. The pair has posted a second down day in a row but Alan says that "...more importantly last week's entire upside has been reversed in only 2 days of trading and the key 13 day moving average has been breached for the first time since April 23rd, as has the 100 day line". 

 

However, Alan thinks the speed and scope of the decline from last week's top, more than three big figures, means intraday signals for sentiment are oversold so he's not advising his clients to leap in at current levels, except in modest amounts, but to look for a rally to 1.1167.

Only above 1.1202 negates this view and the downside targets include 1.1097, 1.1066 and 1.1027