EUR/USD Bulls Push Par Above January High
Al Brooks | Jan 10, 2023 16:22
- Bulls got a strong entry bar following last Friday’s strong outside up bar.
- Bulls want an upside breakout above the January high; however, even if they get it, the odds favor sellers not far above.
- The daily chart has been in a bull channel since the November 21st low and is likely evolving into a trading range.
- On the higher time frame charts like the weekly chart, the rally from October is a strong reversal up from the tight bear channel that began back in early 2021.
- This reversal up on the weekly chart is still probably a minor reversal up, which means the bulls will probably need a higher lower to get a major trend reversal and a second leg up.
- This means that the EUR/USD could easily sell off 300 pips before the bulls get a higher low major trend reversal setup.
- Overall, traders should expect mostly sideways trading over the next few weeks.
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