On January 10th, the market initiated the depicted bearish channel around 1.1570.
The bearish channel's upper limit managed to push price towards 1.1290 then 1.1235 before the EUR/USD pair could come again to meet the channel's upper limit around 1.1420.
Bullish fixation above 1.1430 was needed to enhance further bullish movement towards 1.1520.
However, the market has been demonstrated obvious bearish rejection around 1.1430
That's why, the recent bearish movement was demonstrated towards 1.1175 (channel's lower limit) where some bearish recovery was demonstrated on March 7th.
Bullish persistence above 1.1270 (Fibonacci 38.2%) was mandatory to enhance further bullish advancement towards 1.1300-1.1320 (the depicted supply zone) where bearish positions may be considered upon valid price action.
However, negative fundamental data from US may push the EUR/USD pair for a bullish breakout above 1.1320 that leads directly towards 1.1370-1.1400 (next supply zone) where the upper limit of the depicted channel is located.
On the other hand, earlier bearish breakout below the price level of 1.1270 (38.2% Fibonacci) will probably liberate a quick bearish decline towards 1.1160 again.
The material has been provided by InstaForex Company - www.instaforex.com