Since the start of the year the currency lost in excess of 3.5% and last week fell more than 2.0% plus is in a well-established bearish phase since the early October. Last week the EURUSD fell with a narrow range and closed near the low of the week, in addition managed close below the previous week low, which suggests a strong bearish momentum. The stochastic is showing an oversold market although is still displaying a bearish momentum. Expecting a downward move to 2015 low at 1.0462 on a break below the previous week low at 1.0569 (scenario 1) however a bounce from 2015 low at 1.0462 could trigger a rally up to a key level at 1.0710 (scenario 2).