FX.co ★ EUR/USD analysis for May 21 2021 -Brekaout of the drift pattern and potential for test of 1.2130

Technical analysis:

EUR/USD has been trading upside in the past 24 hours but there is the breakout of the well defined upside channel, which is good sign for further downside movement..

Trading recommendation:

Watch for potential selling opportunities on the rallies with the downside targets at 1.2160 and 1.2130.

Stochastic is showing bear divergence and fresh bear cross, which is another sign and confirmation for the downside rotation.

Key resistance is set at 1.2240