EURUSD remains in bearish mode after only three wave rally from 1.2750 low that was just another temporary pause within ongoing bearish sequence. As such, new lows are in view, especially now when wave 4 pull-back appears complete around 1.2880 after recent weakness towards the lower side of a corrective channel as shown on the chart. With that said, price is expected to extend towards 1.2700 level in the next few sessions before we may see a bottom formation on this pair. Keep in mind that we have a wedge pattern on EURUSD which looks like an ending diagonal. Ending diagonals are reversal patterns, so sharp EUR rally could follow from a new low.
EURUSD 4h:
http://bit.ly/Z7PVx9
