The price of EURUSD has been recovering since July 23rd. Before then, the price had been going down in a mild slope. Although this stable soft downward movement had lasted for almost a month, it got support on July 23rd. The upward trend was smooth initially; however, recently, the price soon began to fluctuate.
The fluctuation started on Jul 30th, which was also the start of a pennant. For now, this pennant has been forming for 40 hours. It is no doubt a small pennant so that the ending won’t be far. As we know, the pennant is a breakout signal; what is the breakout direction of this pennant? Usually, the movement after a pennant is decided by the previous trend, so the price should go up after the pennant. Although the standard deviation and MACD both show a bearish signal, the Bulls power goes up again. The Ichimoku is still below the price line. The price still has room to go, keep patient and be careful of the signals.
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