EURUSD Forecast

The EURUSD had a significant bullish momentum yesterday, broke above the symmetrical triangle and 1.4200 resistance area as you can see on my h4 below and now seems ready to test July 13th high at 1.4281, which is also the EMA 200 region on h4 chart. The bias is bullish in nearest term especially if price able to make a clear break above 1.4281 testing the upper line of my daily chart descending triangle (red) and 1.4373 resistance area. Immediate support is seen around 1.4200 – 1.4170 region. As long as price stays above that area my intraday bias remains to the upside. A clear break below that area would lead us to neutral zone in nearest term as direction would become unclear. CCI in bullish zone both in hourly and h4 chart but remains neutral on daily chart. Technically speaking, if the bullish continues and lead price breaks above 1.4373 and brings daily CCI in bullish zone above 100 level, we may see further bullish scenario. The fundamental aspects of the Euro zone remain fragile and might need just one bad news to cancel the current technical bullishness and lead us back to a consolidation condition but would give the descending triangle bearish scenario a good chance to bring the single currency to the downside.

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