EURUSD Forecast

The EURUSD had another volatile but indecisive movement yesterday. If you look at the daily chart, price has been closing near the opening price since Tuesday, simply suggests indecisive condition. I prefer to see price action this week as a sideways condition between 1.3913 – 1.3670/55 now. My H&S scenario seems failed, but this fact does not necessarily eliminate the downside scenario. Like I said, H&S or not, a clear break and daily close below 1.3670 would turn my intraday bias to a bearish view testing 1.3500 as the bullish phase since bounced from 1.3145 and the break above the bearish channel could be over.  However, as long as price stays above 1.3670/55 strong support area, the bullish phase should remain intact. On the upside, a clear break and daily close above 1.3913 could continue the bullish phase challenging the major/key long term resistance around 1.4000.

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