Price was in a descending channel the entire month of May, and June 1st saw it start rising and break out the channel.
(4 hour EURUSD chart with channels)
It has almost formed a nice bullish channel, but broke out of that, too. So now the question is, will price keep rising in a retracement move of the recent bearish price action, or fall further?
(4 hour EURUSD chart with high/low 100 period moving averages)
Looking at the 100 period moving averages, we can see price has bounced off these lines, so we'll keep an eye on these instead of relying on the channels for the moment.
Price will either keep bouncing around these moving averages for a while, or decide on a direction and accelerate.
Most other USD currency pairs have similar price action right now. EURGBP (not shown) is interesting as it's showing slowing momentum and is forming a wedge shape, which could mean all action is in USD.
A very general guide to placing trades this next week is to sell above/below the recent swings, so buy above 1.262, sell below 1.243.
