has been in a fairly steep uptrend for these past few weeks and has been respecting this trend line
on multiple occasions so it is definitely significant structure. EU seems to have broken that trend line
with a strong bearish
candle and closed just below the previous resistance zone
. There is some pretty strong bearish
divergence on the four hour time frame suggesting some downside. Also, some analysts have predicted that there may be some temporary strength in the U.S. dollar in the coming weeks, which will push EURUSD
down. If EU comes back to complete the head and shoulders
pattern I'm anticipating, I'll enter for a sell at the right shoulder around 1.22393. I'll be targeting 1.20957 since that's right before some of the previous major support zones.