The EUR/USD pair extended the upwards movement and now is trading at 1.0988 and it seems determined to hit new highs. You already know from my previous analysis that the bias is bullish. DXY's deeper drop should weaken the greenback.
Fundamentally, the USD took a serious hit from the Non-Farm Employment Change on Friday. The economic indicator came in at 209K versus 224K forecasts. Today, the Eurozone Sentix Investor Confidence and Final Wholesale Inventories came in worse than expected.
Tomorrow, the Eurozone and German ZEW Economic Sentiment should have a significant impact in the short term.
EUR/USD Upside Continuation!
Technically, the EUR/USD pair ignored the near-term resistance levels indicating further growth. You knew from my previous analysis that escaping from the triangle pattern announces an upwards movement.
Now, it has jumped and closed above the warning line (wl1) of the descending pitchfork and above the 1.0976 former high. These represented strong upside obstacles. The bias is bullish as long as it stays above the median line (ml) of the ascending pitchfork.
EUR/USD Forecast!
Breaking and closing above 1.0976 was seen as a new bullish signal. The R1 (1.1020) and the upper median line (UML) represent the first targets.
