EUR/USD: Rally Within Trading Range
Al Brooks | Apr 19, 2021 09:42AM ET
The EUR/USD has had a strong 4-week rally breaking above Mar. 18 lower high. Bulls need bull bar today to confirm the breakout.
If today is a bear bar, might get a pullback over the next week.
Rally is within 9-month trading range. Bulls trying to get back up into upper December/February trading range within 9-month range.
9-month trading range likely to continue for at least a couple months.
Rally is strong enough so that bulls will buy the first 1- to 2-week selloff.
Tight bull channels constantly form wedge tops, but most lead to minor reversals (bull flags).
The 2 consecutive inside bars (ii pattern) from 5 days ago, is a possible Final Bull Flag, which is a magnet below.
Rallied in Small Pullback Bull Trend overnight. Day traders have only been buying.
Mostly sideways for 5 hours, so many bulls have switched to buying for scalps, instead of for swing trades.
Day traders are only buying.
They will only start to sell for scalps after there has been at least a 20-pip pullback. They will only scalp since a trend down is unlikely.
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