EUR/USD: "Hammer" calling an upward correction
There’re an “Engulfing” and a “Hammer” at the last low, but both patterns have a quite weak confirmation. So, the market is likely going to get a resistance at the middle of the last huge black candle. If a pullback from this level happens, there’ll be an opportunity to have another downward price movement. As we can see on the Daily chart, the two last “High Waves” haven’t been confirmed, so bears will probably move on until any reversal pattern arrives.
The price has been declining, but we’ve got a “Hammer” at the last low. Therefore, the pair is likely going to reach the 34 Moving Average during the day. However, if buyers be stopped by this line, bears will probably deliver a new low shortly.