FX.co ★ Short-term technical view on EURUSD.

EURUSD is trading around 1.2170. Price was expected to bounce towards 1.2170 area after the NFP announcement as a back test of the broken short-term support trend line. EURUSD bounced as high as 1.22 and is making higher highs and higher lows.

Red line - resistance (previous support)

EURUSD so far has touched the upward sloping red trend line two times and bot times price got rejected. Although the rejection did not push price much lower, it was an indication that resistance by this trend line is important. EURUSD is expected to make a lower high around 1.22-1.2170 area and eventually push lower towards 1.20-1.2050. At current levels I prefer to be bearish and stay bearish as long as price is below 1.22.40.