EURUSD has moved below the 1.11 level and is testing important cloud support at 1.1070-1.1080 area as we said it would, if price broke 1.11. Bulls need to react now as the 1.1070-1.1080 area is the line in the sand for the bullish continuation.
Price is trading below both the tenkan- and the kijun-sen. Short-term trend is neutral as price is inside the Kumo (cloud). Price is marginally above the upward sloping trend line support. Bulls need to step in now and push prices higher....Bears on the other hand in order to gain control of the trend they will need to continue pushing prices lower. Bears need to break and stay below 1.1070. Resistance is at 1.1115. Breaking above this level would be a bullish sign. Until then bears seem to have the upper hand, but they are still not in full control of the trend. Trading around 1.1080 has a good risk reward ratio for bulls taking into consideration of the possible upside. I will change my mind for the bullish scenario in case we close a day below 1.1070-1.1060.
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