FX.co ★ EURUSD still no progress as it continues to trade inside the trading range of 1.1370-1.1220.

EURUSD is again approaching 1.13 price level after making a low on Friday at 1.1234 just above the weekly low of 1.1222. Price is moving inside the trading range since the end of November. Is EURUSD forming a major base and reversal level? Don't forget that we are currently at the major 61.8% Fibonacci retracement of the entire upward movement.

For the last 6 weeks EURUSD is trading around the 61.8% retracement level. Usually at 61.8% retracement level we see trend reversals. Will this happen once again? The chances are high taking into consideration the pause in the decline from 1.2265.

Red lines - trading range

As can be seen in the 4 hour chart above, the trading range has upper boundary at 1.1370 and lower boundary at 1.1228. Bulls need to break above 1.1370 in order to reach our first bounce target at 1.1415. Failure to hold above 1.1225 will cancel our bullish view for a move above 1.14.