FX.co ★ EURUSD starts the week with another rejection.

EURUSD opened the week above 1.1350 right at cloud resistance. Price is now trading at 1.1316 after getting rejected at the Daily Kumo (cloud). Support is found at 1.1305 where we find the kijun-sen (yellow line indicator).

Failure to hold above 1.13 will be a bearish sign. So far price has been rejected twice when it reached the lower cloud boundary. This is a sign of weakness. Bulls on the other hand, need to penetrate the cloud and stay above it. So far EURUSD has been trading sideways with no clear direction. Price has now reached the key cloud resistance and so far we have three rejections. Bulls need to break above 1.1350 again and stay above it, in order to have any chance of a reversal. Last week's low at 1.1273 is key support and breaking it will confirm that we are heading towards 1.1150-1.11.