EURUSD is trading around 1.1320 still trapped inside the trading range its been inside for the last month. As long as price is below 1.1390 and above 1.1225 we prefer to remain neutral. The previous trend was bearish and price remains inside the longer-term downward sloping channel. This increases the chances of a downward breakout in EURUSD and a push below 1.1150.
Red lines- trading range
EURUSD has paused the medium-term bearish trend that started in the Spring of 2021. As long as price is below 1.1390-1.1415 where we find the upper channel boundary, we expect price to make a new downward move towards 1.1150. However since short-term trend is not clear, we prefer to be neutral as we are also at an important Fibonacci turning point. Concluding, price action in EURUSD does not provide any good trading opportunities. We prefer to stay neutral and wait on the sidelines.
