Red line - resistance (broken)
Green lines- support
EURUSD is trading around 1.0960. On Friday price broke out and above the red downward sloping resistance trend line providing us with a bullish signal. Price is now consolidating near the highs of this upward break out. Support remains key at 1.0820-1.0840 and as long as we trade above this level, bulls have hopes for a move higher above 1.10 towards 1.11. The RSI has still not reached overbought conditions and therefore we see more upside potential in EURUSD in the near term. Failure to hold above 1.0820-1.0840 would be a bearish sign and would lead EURUSD towards 1.07-1.06.
