EURUSD Forecast:

The EURUSD made a moderate recovery yesterday, topped at 1.2870 and closed at 1.2825. Further bearish pressure was rejected around the lower line of the bullish channel but I think it’s too early to say that the bullish scenario has back to it’s track. If we look at the daily chart, actually price still making lower highs and lows and we must have at least a new higher high to see further recovery. The minor trendline resistance (white) on h4 chart below could be an important technical focus at this phase. A consistent move above that trendline resistance could trigger further upside recovery towards 1.2930 area before testing 1.3000. On the downside, immediate support at 1.2780. Break below that area could trigger further bearish pressure testing 1.2700 and the lower line of the bullish channel.

©2010 FX Instructor Forex Blog - For Traders, By Traders. All Rights Reserved.

.