EUR/USD is falling after the German IFO Business Climate disappointed with 90.1 points. Earlier, it rose as the Biden administration continued promoting its stimulus plan, despite pushback from lawmakers.
EUR/USD: Likely To Move Higher This Week
The EUR/USD on the daily chart has rallied for 5 days from the bottom of a 2-month trading range. The bulls hope that this is the resumption of the 10-month bull trend. But so far, the rally lacks consecutive strong bull trend bars.The bulls need a strong break above the Jan. 13 swing high (1.222) , and then above the top of the range, before traders will conclude that the bull trend is resuming.
At the moment, this trading range is slightly more bearish couple with a formation of a bearish flog on the 4 hourly chart. If today candle closes near its low, it would be a sell signal bar for a lower high major trend reversal.
Consequently, there might be one more brief push up, before the bears try to break below the bottom of the trading range support at 1.2060. If the bears succeed, they will look for a measured move down lower to 1.199