EUR/USD Bounced off from 1.2070

EUR/USD has been steadily moving to the upside for quite a while now – since March this year, but it appears that there will likely be at least a temporary retracement before the pair continues rallying. The pair has formed a very clear shooting star candlestick on the daily time-frame at 1.2070 and has already begun moving to the downside. The closest target is likely around 1.1830, which is the (MA)89 indicator on the four-hour time-frame. Should the pair break out below that support level as well, it will likely continue falling towards 1.1660 or even 1.1600. On the other hand, if or when the pair does break out above 1.2070 the rally will likely continue towards 1.2100 – 1.2200.