The EURUSD had a bullish momentum yesterday, topped at 1.3076 and closed at 1.3053 after the appearance of the hammer candle stick formation on daily chart I showed you yesterday. As you can see on my h4 chart below price is moving inside a bullish channel suggests a bullish correction phase but the current bullish momentum should be seen as a corrective movement and my major technical bias remains to the downside. Immediate resistance is seen around 1.3076 (yesterday’s high). A clear break above that area could continue the bullish correction phase testing 1.3160/90 area. On the downside, the lower line of the bullish channel and 1.3000 – 1.2950 could be a key support area and a clear break and daily close below the bullish channel could end the bullish correction phase testing 1.2873/57 support area even lower.
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