EUR/USD: What to expect next week ?
As mentioned in our previous post, EUR/USD rebounded nicely since it penetrated the KUMO.
The bullish momentum which is benefiting the pair should remain next week.
As shown in the Weekly, we have a very nice bullish candle about to end today which is well above its TS. As you can see, prices tested below TS and rebounded today. This is a signal that the bullish trend is on. The next resistance is 1.10018 which is actually the Daily’s SSB and the extension of the Weekly KS.
The LS still has a triple resistance (prices, TS and KS).
The Daily shows the movement which we saw in the weekly chart, that is the rebound of the prices from TS with this bullish candle. The prices will have a first resistance at 1.0018 which is the projected SSB. The LS will have to cross the same resistance in order to fully confirm the upside.
H4 shows a much different picture. Prices are about to cross a very thin KUMO indicating a confirmed bullish trend and LS to cross its KS. Should the KS be fully crossed this will be validation of a str0ng bullish movement.
Our scenario is a continuation of a bullish trend.