Previous: EUR/USD Consolidating with Bearish Signs (7/18)
EUR/USD 1H Chart 7/19/2012 11:45AM EDT
The EUR/USD continues to consolidate in a slightly rising channel, or rising wedge. The 1H chart shows the RSI mostly stuck between 40 and 60, but it has kissed 30 recently, so there is just a slight bearish bias in momentum despite the fact the EUR/USD has been making higher lows and slightly higher high during the 7/19 session.
Still this high is below last week’s 1.2330 high. A break above this should introduce the reversal scenario in the short-term, exposing the 1.24 handle.
However, if the the market can hold below 1.2330 and push below 1.22, it will finally break the rising trendline for the week, and create a lower low week. This can be be a signal of bearish continuation.
Fan Yang CMT is a forex trader, analyst, educator and Chief Technical Strategist for FXTimes – provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.
Information and opinions contained in this report are for educational purposes only and do not constitute an investment advice. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness. FXTimes will not accept liability for any loss of profit or damage which may arise directly, indirectly or consequently from use of or reliance on the trading set-ups or any accompanying chart analysis.
