The daily EUR/USD chart is near support after a series of sell climaxes and can bounce at any time.
The daily chart of the EUR/USD had 3 small days after a series of sell climaxes over the past 3 weeks, and it broke to the downside overnight. It is trading above the support of the bottom of the trading range that began immediately after the huge March 10 bull reversal up from 1.0821. May 13 is a credible measuring gap, and the measured move projects down to around 1.1100. This is only about 55 pips below the overnight low. The EUR/USD does not have to get there, but when there is a clear gap, and then a breakout pullback test of the breakout point (the May 17 high failed to close the gap below the May 10 low), there is about a 50% chance that the bear leg will reach the measured move target, whether or not it bounces 1st.
If the EUR/USD daily rallies strongly, the selling over the past 4 weeks has been strong enough so traders believe the 1st reversal up will not break above the top of the yearlong trading range. More likely, it would be followed by a test back down. If the rally does not close the May 13 gap, the EUR/USD might then continue down to the 1.1100 measured move target. This rally would be a lower high major trend reversal and a Head and Shoulders top on the daily chart.
Even though the selling from the May 3 high has been in a series of sell climaxes, which increases the chances of a 2-legged rally, there is no bottom yet. When there is a trading range late in a bear trend, especially near support, it is often the Final Flag. This means the bear breakout often reverses back up and begins a swing up. The 3-day trading range might be the Final Bear Flag, but there is no sign of a reversal yet and there is still room to the support of the measured move target and the March 16 bottom of the bull channel at 1.1057.
There is the support of the strong March 24 higher low of 1.1144. Since this is the 3rd push down from the May 13 gap, the Forex market might see this as a wedge bottom at support. If so, the EUR/USD might bottom in the next day or two and begin TBTL Ten Bars, Two Legs up. However, until there is a reversal, the odds favor reaching the measured move target before there is a swing up.
Because the EUR/USD Forex chart is in a sell climax and near support, a reversal up can come at any time. However, it is more likely to reach the Leg 1 = Leg 2 target around 1.1100 1st.