EURUSD Sluggish Rally – Follow-up Analysis
Since the last analysis, EURUSD did make a downtrend after the news event, but the volumes dried up, and a rally began. On the 2nd correction, there was yet another consolidation on low volume, and the price would break the long-term resistance at 1.123 in the London session. Since the breakout, the market has continued the rally, but on the last days some supply has appeared, which may mean some big traders are starting to take profits, but not necessarily supporting a down move just yet. The break of the up trendline on good volume would make it more likely there is distribution going on, and in my view, it would give a short position possibility.