The EUR/USD
was in a well-defined bearish channel as shown on the daily chart, but yesterday
the pair rallied above the upper trend line of the channel to break today above
the 1.1800 level. Despite the strong rally, the EUR/USD losses its momentum and
drops back during today´s session to form what it appears to be a shooting star
pattern on the daily candle. The shooting star pattern is a bearish reversal
pattern and if tomorrow’s candle is bearish, the formation will be confirmed.
On the other hand, the 1.1700 level may act as support, but if the price breaks
below the 1.1700 level, then the pair will be entering again the bearish
channel with some supports at the 1.1600 level or the 1.1500 level where we can
find the 200 day EMA. To the upside, its next resistance level could be the
1.1900 level.
It may continue rising.
ReplyDeleteVery impressive rally.
ReplyDeleteBulls are going to march higher.
ReplyDeleteWe may see a pullback before another move upward.
ReplyDeleteWell spotted! Thanks for sharing it.
ReplyDeleteGood assessment!
ReplyDeleteGood post.
ReplyDeleteVery useful article.
ReplyDeleteThe pair continue to drop.
ReplyDelete