The EURUSD failed to continue its bullish momentum this week and whipsawed strongly to the downside after unable to make a break above 1.4700, formed a valid H&S formation and now testing the lower line of my bullish channel and 50% Fibonacci retracement of 1.3968 – 1.4695 around 1.4340/20 region as you can see on my hourly chart below. This pair is in a critical technical point now. Although the bullish channel still hold so far, my intraday bias has changed to a bearish outlook and only a clear break back above 1.4500- 1.4550 would keep the bullish scenario remains strong. On the other hand, a break below the bullish channel and 50% fibo retracement next week could trigger further bearish pullback retesting 1.4000 strong/psychological support area.
Have a great weekend and see you guys next week.
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