EURUSD Forecast

The EURUSD failed to continue its bullish momentum yesterday after unable to make a clear break above 1.3480, bottomed at 1.3314 and closed at 1.3323. As you can see on my h4 chart below, we have a double top formation around 1.3480 and a clear break below 1.3320 support area could trigger further bearish pressure testing 1.3200 and the trend line support. Aggressive intraday traders can long around 1.3320 with a tight stop loss. The bullish scenario since bounced from 1.2625 should remain intact but need a clear break above 1.3480 to continue the bullish scenario. The bearish momentum occurred after a failure to make a clear break and daily close above the 200-daily-EMA and the double top formation could be a serious threat to the medium/short term bullish phase. Immediate resistance is seen around 1.3370 – 1.3400. A clear break above that area could lead price to neutral zone in nearest term retesting 1.3480 key resistance area.

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