EURUSD Forecast:

The EURUSD attempted to push higher yesterday, topped at 1.2297 but closed lower at 1.2219. The bias is neutral in nearest term. We are still in upside correction phase but still within the context of a major bearish scenario. I divide this bullish correction into two phases, the minor (red channel) and the major (blue channel). Break below the minor bullish channel could trigger further bearish pressure testing the major bullish channel but as long as the major bullish channel hold the upside correction remains intact. On the upside, as a result of the latest price action, I have a new trendline resistance (white). Break above the trendline could trigger further upside scenario targeting 1.2350 before testing 1.2450 region. Immediate support at 1.2150. Break below that area could trigger further bearish pressure testing 1.2050 – 1.2000 region.

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