The EURUSD was launched January of 1999. After the launch the EURUSD came under pressure until June 2002, the EURUSD broke out in an amazing fashion to eventually trade to 1.6000 over the next 6 years. Speaking of fashion, just shortly after Supermodel Gisele Bundshen announced she would only be paid in Euros, the EURUSD peaked (and double topped) and has dropped ever since.
Fast forward to today, and the EURUSD has broken lower the last week as the GBPUSD has been taken to the woodshed to new all time lows overnight. With this move, the USD has moved across the board and acted as a wrecking ball to the markets globally. Today, we closed back at the June 2002 breakout point and tested the 161% extension of the Covid move higher in the EURUSD (.9583). As the EURUSD is oversold, it is important to understand what critical support we trade at. Is it time to buy the EURUSD?