EURUSD Forecast:

The EURUSD had a moderate bullish momentum yesterday, topped at 1.4294 but closed a little bit lower at 1.4259. On h4 chart below we can see that the rising wedge formation has been violated to the downside suggesting potential bearish scenario but further bearish scenario was limited by 1.4180 support area so far and overall the pair still consolidating. The bias is bullish in nearest term testing 1.4350 area, but remains neutral in medium term. Break above that area should trigger further bullish momentum towards 1.4446 and cancel the bearish scenario. However I prefer to stay out for now and wait for further development. Today we will have ECB rate decision and press conference, which I expect to be the market mover of the day. The ECB is expected to leave rates at 1.00%. The market will focus more on the conference where Trichet is going to give comments about the economy outlook.