The EUR/USD broke below the key support trend lines (blue) and is building a lower low. The bearish breakout is either part of a wave C (purple) or could be an impulsive wave 3 if price manages to break below the critical bottom at 1.13.
The EUR/USD has reached the 61.8% Fibonacci level of wave C vs A. A continuation could take price to the next Fib target which is a bounce or break spot.
The EUR/USD bearish breakout could see price fall towards Fibonacci targets of wave 5 vs 3+1. At the moment it seems like price is building a wave 4 (green) correction, which would become invalidated if price breaks above the resistance trend line (red) and bottom of wave 1 (green).
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