EURUSD is trading around 1.1352. Yesterday price broke below and out of the Kumo (cloud) providing a bearish signal. Today price is bouncing trying to re-enter the cloud. Recently price was trading above the cloud but only for a short time.
EURUSD is challenging not only the cloud, which is resistance now, but also the kijun-sen (yellow line indicator). A daily close above the kijun-sen would be an important bullish signal. A rejection at the kijun-sen will lead to a bigger decline. Bulls need to push above 1.1440 where we find the upper cloud boundary. This is the most important resistance on a Daily basis. This is what bulls need to capture, in order to gain control of the trend.The material has been provided by InstaForex Company – www.instaforex.com