- The EUR/USD bulls tried to reverse the market up after the Feb. 13 2nd entry buy below the moving average. However, most bulls scalped out yesterday, and the entry bar closed as a weak doji.
- The bears will see yesterday as a second-entry sell. However, it is a bull bar forcing traders to sell in the middle of a 7-bar tight trading range which is not ideal.
- There are probably buyers not far below, and the market will likely have to rally and form a lower-higher major trend reversal.
- Most successful major trend reversals take several attempts, and while the bears have done a good job with the three consecutive bear bars that began on Feb. 2, most traders want to see how eager the bears are to sell again on a test back to the highs.
- This means that most bears would rather sell a lower high major trend reversal, which makes me think there are more buyers down here than sellers.
- Overall, the market will probably have to go sideways over the next week, test the highs, and form some kind of topping pattern, such as a higher or lower high major trend.
EUR/USD Bulls Struggle to Reverse Trend
