EURUSD back tests broken short-term support and get rejected

EURUSD today bounced strongly back towards the broken support trend line and after back testing it price got rejected. Price action today gave another short-term bearish signal for EURUSD as bulls could not push price above 1.1230.


Red line - upper bearish channel boundary

Blue rectangle - horizontal support

Black lines- short-term support trend lines

Yesterday EURUSD broke below the short-term upward sloping support trend line. Today price bounced for a back test and got rejected. Support is now found at 1.1180 and resistance at 1.1230. EURUSD has made no bullish move today so bulls have a lot of work if they want to change the trend in this pair. Bears remain in control of the short- and medium-term trend as long as price is below 1.1260.

The material has been provided by InstaForex Company -