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Short-term Ichimoku cloud indicator analysis of EURUSD

EURUSD has broken out of the Kumo resistance and is making higher highs. Bulls have recaptured 1.11 as price is now turning daily trend to bullish. The weak bullish signal that we gave when the tenkan-sen crossed above the kijun-sen is now being strengthened.

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Price so far has respected both the tenkan-sen and kijun-sen indicators. Even at the recent pull back price held above them and bounced strongly back inside the cloud. Now that price has broken out and above the Kumo we have another bullish signal. It is important for bulls to keep price above the Kumo and above the tenkan-sen and kijun-sen indicators. Support by these two indicators is found at 1.10 and at 1.0935.

The material has been provided by InstaForex Company - www.instaforex.com