- The EUR/USD formed a small bull close above the moving average last Friday.
- The bulls are hopeful this is the start of an upside breakout, however, the market has not clearly broken out above the tight trading range.
- Until there is a clear breakout, there is no breakout. This means that traders should wait for confirmation if the bull breakout will succeed or fail.
- The bears will try to cause any bull breakout above the moving average to fail and reverse back down.
- The market is in a tight triangle, which is a neutral market. This means that traders should assume that the probability for both the bulls and the bears is close to 50%.
- Overall, traders should wait and see the breakout before placing a trade.
EUR/USD: Bulls Seek Upside Breakout
