Bearish Pressure Mounts, Technical Breakdown Could Trigger Further Declines

⑴ The combination of the current market structure, technical and fundamental bearish factors suggests a likely decline. ⑵ Last week, short positions more than doubled, and forex traders increasingly believe that a larger drop may occur in the coming days or even weeks. ⑶ Technically, the failure to break through the key Fibonacci retracement level of 97.993 last week, coupled with continued declines this week and a negative 14-day momentum indicator, reinforces the overall bearish outlook. ⑷ The likelihood of breaking below the psychological threshold of 96.000 continues to rise. If this level is lost, a retest of the 2026 low at 95.566 may occur. ⑸ Continued pressure on Tuesday, with the market closely watching the upcoming economic data releases, which are expected to influence future interest rate path expectations.