EUR/USD Daily Chart
- The EUR/USD is trying to get a close above the exponential moving average (blue line) and damage the argument of a bear trend.
- The market has had 24 out of 25 closes below the moving average, which is a sign of strong selling pressure. This will increase the market’s odds of transitioning into a trading range, not a bull trend.
- The bulls will probably get a couple of legs up soon, and the market will go sideways. One target for the bulls is a test of the February 14th high, which was the start of the bear channel.
- The bears will see any rally as forming a double top. Next, they will want a major trend reversal.
- The bulls will want trend resumption. However, they will need a strong upside breakout above the February high to get this.
- Overall, traders should expect more sideways trading and confusion.