02.08.201908:45 Forex Analysis & Reviews: EUR/USD might reverse and rise

There is a pullback from 1/8 Murrey Math Level which highlights an opportunity to have a reverse and an upward correction at last. The price tried to break Super Trend Line for a few times, but the pair is still consolidating below this level. Thus, the subsequent break of ST-Line will confirm that EUR/USD has bottomed. It is also possible that the pair may test 1/8 MM Level one more time. If this line acts as support again, there will be more evidence for the bullish outlook.

The nearest bullish target is 3/8 MM Level which has been acting as resistance since the price broke it last week. Additionally, if the pair goes through this level, we should watch 4/8 MM Level which strengthened by higher timeframes and might act as strong resistance. However, we could expect a longer upward price movement only if the pair breaks Daily Super Trend Line and consolidates above it.

The bottom line is that EUR/USD is getting bullish because of a pullback from 1/8 Murrey Math Level. Nevertheless, we should wait for more proof of this scenario, such as a breaking-out Daily ST-Line and subsequent consolidation above 3/8 MM Level which are acting as resistance for now.