Daily Outlook
The EUR/USD pair remains trapped between the price levels of 1.2200 and 1.2500 until breakout occurs in either directions.
Daily persistence above 1.2470-1.2500 was needed to confirm a recent bullish flag continuation pattern with projected targets around the price level of 1.2750.
However, significant signs of bearish reversal were manifested around the price levels of 1.2400.This was manifested in the bearish engulfing daily candlestick of March 28.
The EUR/USD pair remains bullish as long as the depicted uptrend remains intact. The upper limit of the depicted consolidation range around 1.2500 is the nearest supply level to be tested. Bullish breakout above 1.2500 enhances this bullish scenario.
On the other hand, the depicted Multiple-Top pattern needs bearish breakdown of the level of 1.2200 to be achieved on a daily basis. Bearish Projection target would be located around 1.2070-1.1990 (Low probability at the current time).
Trade Recommendation:
Conservative traders should wait for bullish breakout above 1.2500. Bullish targets will probably present around the price levels of 1.2750.
The material has been provided by InstaForex Company - www.instaforex.com