The EURUSD had a significant bearish momentum yesterday, fell below the bullish channel as you can see on my h4 chart below and slipped below 1.2550 support area. This fact is a serious threat to the bullish phase. The bias is bearish in nearest term testing 1.2435 especially if price able to move consistently below 1.2550. Immediate resistance is seen around 1.2630. A clear break back above that area could lead price to neutral zone in nearest term as direction would become unclear, but would keep the bullish phase intact testing 1.2700 – 1.2750 region. Overall, while short term bias turned bearish now, my medium bias is entering a neutral zone so I am not in a bearish mode yet. A clear break and daily close back below 1.2435 – 1.2400 will activate my bearish mode as the long term bearish scenario after broke below 1.3000 is likely to continue.
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