Earlier on a 4-hour chart, the EUR/USD pair had formed the candlestick Shooting Star, which indicates the bearish signal.
This candlestick formed on an uptrend. However, the bears started to increase their influence near January 2010 low and a rollback happened.
Presently, the lower limit of the uprising trend is testes. The breakthrough of Fibonacci correctional level 23.6 and support level of 1.3777 will denote the breach of the uptrend and confirm this point of view.
In this case, the downside movement to 1.3382 should be expected, where Fibonacci correctional level is set.
The downtrend is confirmed by the fact that on a daily chart the EUR/USD had formed the combination of candlesticks Dark Cloud Cover.
On the other hand, if the resistance level 1.4157 is broken through, then short positions should be closed, as it will lead to new annual highs.
