dainiushka

EURUSD, is forming Bullish Bat Pattern

Short
OANDA:EURUSD   Euro / U.S. Dollar
EURUSD is forming Bullish Bat Pattern. Target - 2.618 fib. retracement of BC, it will be a good opportunity to test the all time bottom trendline. Price made a breakout from all time upper trendline, retested it and formed ascending triangle pattern, it is continuation pattern. Nonfarm Payrolls was twice lower than expected, price surged yesterday and is near the top of ascending triangle top. I think price will test the 50 ema on daily time frame and fall down. Good entry point for aggressive traders. Conservative traders should wait for breakout from ascending triangle bottom trendline. The U.S. yield of 10-year Treasuries surges, it is bullish for dollar. U.S. Federal Reserve bank is hawkish, expects to raise interest rates sooner than expected (three rate hikes this year), tapering bond purchases, despite high inflation. ECB is dovish, will not raise interest this year, due to the high spread of the omicron, lockdowns, because it could hurt the economy growth and consider inflation to be temporary. Fed hawkish, ECB dovish, so it is bullish for dollar, bearish for EURUSD. RSI formed the falling wedge, strict upper and bottom trendlines. RSI is near the top of upper trendline now, it should bounce and fall down to test the bottom trendline.
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