Last time we talked about EURUSD I mentioned the importance of the 1.10-1.1030 resistance and that there were many chances we see a fake break out. Pulling back below 1.10 and staying below that level will increase the chances that the bounce was just another selling opportunity.
EURUSD was approaching the important Kumo (cloud) resistance at 1.1030-1.1040 area as we noted in our last post. Price got rejected at the resistance and is now challenging the tenkan- and kijun-sen indicators. Support is here at 1.10 and for the bullish trend remain intact bulls will have to bounce off this support area and continue making higher highs and higher lows. As long as price is above 1.10 we expect EURUSD to continue higher towards 1.1130.
