- The bears got a strong bear breakout last Friday, and now they have two consecutive bear trend bars.
- The downside breakout is strong enough to get at least a small second leg down.
- The market is now in a trading range and may have to test down close to the Jan. 6 low.
- While the bulls did a good job forming a small pullback bull trend, because of the weekly chart, the odds were against the small pullback trend lasting for a long time.
- The weekly chart will likely need to form a higher low major trend reversal, which means the daily chart will have to test down lower.
EUR/USD: Strong Bear Breakout, Another Leg Down Likely
