EURUSD continues to trade above 1.13 but bulls have not managed yet to show an important sign of strength. During this week volatility rose due to the FOMC. Price tested the key support trend line and bulls managed to defend it. However in order for price to continue higher bulls need to show signs of strength.
Blue line- trend line support
EURUSD bulls need to push price above the red horizontal resistance in order to provide a bullish signal. Price in Ichimoku cloud terms has already provided such a bullish signal, but bulls need to continue to support the trend. Failure to break above 1.1370 could lead to another pull back towards 1.1250. We continue to prefer to be neutral if not bullish at current levels, looking for a move at least towards the 1.1415 area.