- The EUR/USD got a bull breakout yesterday. However, as strong as the bull breakout bar is, it is probably a minor reversal.
- The channel down from the May high is tight, which increases the odds that the first reversal up will lead to sideways trading.
- The market will probably have to get close to the moving average (blue line) over the next few days.
- Yesterday’s bull bar is probably strong enough that the first reversal down will likely fail and lead to a second leg up. This means that even if today is a bear bar, it will probably have buyers below.
EUR/USD Bears Want Another Test of Moving Average
