In Friday's (22th Jan) analysis, I discussed about the possible rally towards 1.2215 minor resistance zone before we notice further selling pressure. In Friday's session, EU chopped around the 1.2170 range. In the short-term I will be favoring short opportunities due to the recent violation of the ascending channel (short-term bearish sentiment). There are two scenarios that I am looking at
1. Further grinding sort of bullish rally to potentially re-test the 1.2210 minor resistance zone for further bearish continuation setup, with 1.2060 & 1.2010 as targets 2. Immediate bearish pressure pushing price below 1.2140 minor support zone
We could expect some bearish sentiment in the market. However, do not forget the overall trend on the higher timeframe remains bullish. Will keep it updated in the following trading week.
Trade safe.
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