Market Analysis: EURUSD Witnessed a Successful Bullish Breakout
EURUSD bulls have seized market control with a breakout from a falling wedge on the daily timeframe. The upward direction has been further confirmed with the break of the last supply zone of 1.0890.
EURUSD Key Levels
Demand Levels:1.0640, 1.0600, 1.0500
Supply Levels: 1.0850, 1.0969, 1.1030
EURUSD’s bearish trend set in at the beginning of the year. A swing high formed at 1.1100 just before the price sank below the bullish order blocks on the daily chart. The Hull Butterfly Indicator signaled a downward trend with its negative reading and a transformation of its hue from green to red.
The downward trend was very rough as the market structure’s highs and lows weren’t orderly. The use of trendlines on the major lows and highs formed a bearish wedge chart pattern.
Earlier this month, the market revealed the first sign of an uptrend with the rise of the daily candles above the Williams Alligator. The Hull Butterfly Indicator also turned green with its reading above zero. The price ascent defied the bullish channel with a bullish breakout.
Market Anticipation
Finally, the price has ascended beyond the point of invalidation at 1.0890. The break of the supply zone has established a certainty of the market direction. The bulls are expected to seek the next resistance level of 1.0960
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