After being bought from 1.1180 as expected, EURUSD is trying to make another swing to the upside particularly on H4 timeframe. Today early in the morning we have witnessed a sudden EURUSD bounce which was faded. The move could be a possible attempt to stop grab stops which are definitely placed in the 1.1300-30 zone. The fade which happened afterwards suggest that there might be another possibility for a rally if the price doesn't close below 1.1255.
H4 timeframe is showing a downtrend but also we can spot INVERTED Head and Shoulders pattern (red rectangle). Now we have a battle between bulls and bears. General trend is down but we see an inverted Head and Shoulders pattern. That boils down to POC which comes in 1.1325-35 zone. If we get a stop grab/bounce above 1.1335 the price may reach 1.1385. In that case now moment sellers should appear and reject the price (X cross, 78.6, H5 confluence).
If we see a fade then 1.1335 zone should hold it and reverse the price towards 1.1255. MACD is positive but any weakening histogram on MACD while still above 0 would indicate a possible FADE.
The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.
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