EUR/USD Weekly Bias technical analysis appears well-reasoned. EUR/USD Weekly Bias Analysis
Technical analysis appears well-reasoned:
1. Short-term bearish bias: You anticipate a decline towards the previous week's low, indicating a potential short-term downtrend.
2. Bullish reversal zone: You've identified a critical area, marked by the weekly Fibonacci Volume Zone (FVG), where a potential bullish reversal could occur.
3. Upside target: Your analysis suggests a move towards the weekly high, offering a clear profit target.
# Key Confirmation Factors:
To validate your bias and adjust your strategy, consider the following:
- Candlestick patterns: Monitor for bullish reversal patterns, such as hammer or engulfing candles, to confirm a potential trend change.
- Momentum indicators: Keep an eye on the Relative Strength Index (RSI) and other momentum indicators to gauge the strength of the potential reversal.
- Volume analysis: Analyze trading volumes to ensure they support your bias, with increasing volumes on up days and decreasing volumes on down days.
By carefully monitoring these factors, you'll be well-positioned to adjust your strategy and capitalize on potential trading opportunities in the EUR/USD market.