EURUSD started the week on a positive note by bouncing from last week's lows of 1.2015 towards 1.2060. Despite the early strength, I expect during the week and by the end of this week for price to be below last week's lows. The entire upward move from 1.17 was finished and I believe we are in a corrective phase and patience is needed.
Purple line- RSI bearish divergence
Red line - major resistance
Black lines - expected path.
EURUSD can move higher towards 1.21 tomorrow but I expect a turnaround soon and price to move lower at least towards the 38% Fibonacci retracement. My first pull back target is at 1.1980. The least possible scenario for me now is to see price make a new higher high above 1.2149. The most probable scenario is for price to continue the move lower. The RSI provided us with the warning signal and the exit of the bullish channel confirmed this.
