The EUR/USD pair fell during the initial part of the Tuesday session, but bounced yet again in order to form a hammer. Looking at this chart, it becomes obvious that we are forming higher lows along the way and there is a minor trend line that the markets are following. Because of this, we think that there is a biased to the upside, but the truth of the matter is we are in a huge mass of noise in this market. Is because of this that although we have a slightly bullish bias, this will be one of our least favorite markets to trade right now.
There should be quite a bit of resistance and choppiness all the way from here to the 1.35 area. Below, we see the 1.28 level as a massive support level. In fact, the easiest trade to take on this chart would be a break below the 1.28 level in order to start shorting this pair massively. However, it does not look very likely that we will get that signaled anytime soon.\
Written by FX Empire