Relevance up to 19:00 2021-01-22 UTC+3
The EURUSD pair was trapped below the previous key-level (1.2000) until bullish breakout occured to the upside recently in December.
Further quick bullish advancement was expressed towards 1.2150 just as expected after failing to find sufficient bearish pressure at retesting of the backside of the broken channel around 1.1970-1.2000 which corresponds roughly to Fibonacci Level of 0%.
Recently, the pair looked overbought while approaching the price levels of 1.2250 (138% Fibonacci Level).
That’s why, conservative traders were advised to look either for SELL Positions around the previous price levels at 1.2330 (150% Fibonacci Level) in the previous article.
Recently, Bearish closure and persistence below 1.2160 was needed to abort the ongoing bullish momentum. This allowed the recent bearish movement to pursue towards 1.2050 where the depicted key-zone is located.
Bearish closure below 1.2000 would enhance the continuation of the current bearish Head and Shoulders Pattern towards lower targets.
However, Intraday traders should were advised to look for price action around the price zone around 1.2000-1.1975. This price zone stands as a Demand Zone which can offer bullish SUPPORT for the EURUSD.
Suggested bullish trade is currently running in profits. Bullish closure above 1.2160 is needed to enhance further upside movement towards 1.2250 as an Intraday target.
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
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