• EURUSD continues the sell-off
• Immediate support at medium-term uptrend line
• Stochastic edges lower in oversold area

EURUSD is experiencing more losses a few hours ahead of the ECB interest rate decision, sending the market beneath the 200-day simple moving average (SMA) and the 1.0870 resistance.

Technically, the stochastic oscillator is extending its negative momentum in the oversold zone creating a bearish crossover within its %K and %D lines. Moreover, the RSI is moving horizontally near the 30 level.

As the price has lost more than 3% since the pullback from the 1.1200 round number, it may then challenge the medium-term uptrend line near 1.0810. Slightly below that, the long-term ascending trend line at 1.0775 may act as a turning point in the market. A lower move could switch the outlook to bearish.

On the other hand, a rise above the 200-day SMA could add some optimism for bullish movement, hitting the 1.0950 and the 1.1000 key levels.

All in all, EURUSD has been in a selling interest over the last three weeks and only a rally above the 1.1200-1.1215 restrictive region would change the current short-term outlook.