There’s a “Morning Star” at the local low, which led to the current upward correction. The 21 Moving Average is acting as a resistance. However, there’s nothing that can stop bulls on the way towards the 34 Moving Average. If we see any bearish patterns on this line, sellers will probably try to taste the lower “Window” once again. As we can see on the Daily chart, a “Low-Price Harami” hasn’t been confirmed, so the pair is free to test the 55 Moving Average again. If so, bears are going to return into the game.
We’ve got a “Tower”, a “Harami” and a “Doji” at the local low. The last candles are bullish and there isn’t any reversal pattern so far. Therefore, the current correction is likely going to move on until a bearish pattern arrives.
EUR/USD, H4
EUR/USD, H1
Origin: FX BAZOOKA
