EURUSD: Remain Short Through Correction
I initially sold EURUSD at 1.4881. The pair finished last week with a break through resistance at the upper boundary of a falling channel set from the swing high in early December, with near-term resistance now in the 1.3800-60 area. I see any move to the upside that falls short of a daily close above the outer boundary of this region as corrective and will remain short, looking for the re-emergence of bearish momentum to take prices below 1.3404. That said, I will consider cutting the trade should a daily break above 1.3860 does materialize. For the time being, a stop-loss will be activated on a daily close above 1.4251.
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