Wait for a correction to sell EUR | 16 May 2022

Technical observation

On the chart above price retraced to the resistance zone 1.0591-1.0576 but could not break above it, instead it bounced below the same zone then declined up to the supportive level 1.0348. This pair also bounced at the supportive level I have mentioned above and for some time now it has been trading with an increasing bullish bias. I expect a continuation of this upwards movement to the key level 1.0591-1.0576 followed by a rejection within it to re-sell EUR with my take profit at 1.0348 and stop loss at 1.0680. I can only recommend bullish positions in case of a clear breakout above the zone 1.0591-1.0576 with a big green candle.

Trade recommendation

Remain neutral.