EUR/USD: Bulls Likely To Test 2020 Low

2022.04.28 16:36

EUR/USD Daily Chart

• The EUR/USD closed below the 2020 Lows (green line) yesterday, and they want another bear close today.
• More likely, today will have a close above the open (1.0560) and try and test the 20202 low (1.0636) either today or tomorrow.
• It was reasonable to buy the 2020 low and scale in lower, which means the market could rally back to it quickly.
• Overall, the breakout below the March – April trading range has been strong, which means the first reversal up will likely be minor, and the best the bulls can expect is sideways until they get a micro double bottom.
• One thing to point out is that the current selloff (April 21 – 28) on the daily chart is the strongest-looking selloff since April 2021. The market may go sideways and form a bottom around this price level over the next couple of weeks and rally back to the March – April trading range.

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