EURUSD has reached the lower boundary of the long-term wedge pattern at 1.1115 and price is bouncing. Trend remains bearish. Price remains inside the longer-term downward sloping wedge pattern. A short-term bounce towards 1.12 is possible for today.
Red line - support trend line
Blue line - short-term resistance trend line
EURUSD is oversold in the short-term. Price could bounce today or Monday towards 1.12 and the 38% Fibonacci retracement resistance. Short-term trend remains bearish as long as price is below the blue trend line. The blue trend line resistance is at 1.1270. As long as price is below that level there is danger of moving even lower towards 1.1050. A break of the 1.1250 resistance could open the way for a move towards 1.13-1.1350 where the major trend resistance is found.
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