RLinda ! EURUSD-> A stalemate. What's next?

17 ott 2022

The EURUSD is entering a phase of accelerating fall, which could herald a renewal of global lows and new price records, but will it be like that?

On the global chart we are seeing a strong bearish trend, the price hit multi-year lows and continues to set up for further declines. I marked the key levels, 0.99997, the next local high is 1.01977, and 1.03686, only if the price breaks the levels and keeps rising, we should consider the change of trend as the key condition for the trade.

On the local chart we have a price channel, which direction coincides with the global trend. The price breaks through the support and forms the outlines of a triangle pattern.

The triangle pattern is exclusively a breakout pattern, what should we expect?

• The price will return to the price channel and correct to the resistance area
  Why?
  We see that the price, after the false-break-down of 0.95526, is forming a growth and is not able to renew the local lows. The price is pushing towards resistance for a possible breakout upwards
  
• Fall, only on condition that the price breaks the support of the pattern, then we can see the price falling in the trend. The key target is the liquidity zone at 0.95526
  

Regards R. linda!