EURUSD is trading at 1.10. Short-term trend is mixed as we have seen a stop to the lower lows and lower highs pattern. Prices are mostly moving sideways in an area of great support. Although technically trend remains bearish, there are some signs that tell us that the chances of a reversal are icnreasing.
Blue rectangle - horizontal resistance
Black line- trend line resistance
EURUSD has formed a higher low at 1.09. Bulls want to see price break above the black trend line resistance and above the blue rectangle. If this happens, I will be expecting EURUSD to continue higher towards the upper channel boundary around 1.14-1.1370. Failure to hold above 1.09, will push price most probably to new lows below 1.06.
