03.07.201916:01 Forex Analysis & Reviews: EURUSD remains in a bearish short-term trend but is close to giving a bullish reversal signal

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EURUSD is trading right below 1.13 making lower lows and lower highs in the short-term. A break above 1.1310 and most importantly above 1.1322 will give us a short-term bullish signal. We keep a close eye on the RSI as a break above the black downward sloping resistance trend line is what we look for an entry on the bullish side of EURUSD.

Black line - RSI resistance

Green line - support trend line

EURUSD has reached as expected the 61.8% Fibonacci retracement and made new lows today providing a small bullish divergence. If bulls manage to break short-term resistance at 1.1310-1.1322 area we could see a tradeable reversal signal if combined with an RSI break of the resistance trend line. This bullish sign could be short-term but could also provide a thrust for a move above 1.14-1.1450. Longer-term bulls do not want to see price break below green trend line and most importantly below 1.1180. Bears do not want to see price break above 1.1390.

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