FX.co ★ EURUSD reversal to the upside

As expected EURUSD has made a new low and reversed to the upside. Price trading below 1.18 had entered the buy zone as we mentioned in previous posts. Price is now breaking above the short-term resistance trend line and has the potential to reach 1.1975 as we expected from our last post.

Red line - major support

Blue line- bullish divergence

EURUSD is breaking above the green resistance trend line. The bullish RSI divergence is now being confirmed as short-term trend is changing from bearish to bullish. Our expectations for a reversal from the 1.1750-1.18 area are coming to life. We remain bullish EURUSD expecting a big bounce at least towards 1.1975-1.20 area. Support remains important at yesterday's lows at 1.1782.