EURUSD Forecast

The EURUSD failed to continue its bullish correction yesterday after unable to make a break above 1.3076, fell below my bullish channel as you can see on my h4 chart below, hit 1.2896 and closed at 1.2929. The bias is bearish in nearest term. The bullish momentum was short lived and these facts could end the bullish correction phase testing 1.2857 even lower. Monthly EMA 200 support area is seen around 1.2500, a potential major downside target especially if price able to make a daily/weekly close below 1.2857 as the hammer formation bullish scenario might have failed. Immediate resistance is seen around 1.2950 followed by 1.3000. A clear break above that area could lead price back to a neutral zone in nearest term retesting 1.3076 but overall I remain bearish and still prefer a sell on rallies strategy.

©2012 FX Instructor Forex Blog - For Traders, By Traders. All Rights Reserved.

.