EUR/USD turned quite bearish during  March losing around 6.50 cents, as the USD turned bullish after declining for nearly a year. In April though, the USD turned bearish again and EUR/USD turned quite bullish, increasing around 4.50 cents from the bottom.

During last month, moving averages were doing a great job in providing support during pullbacks lower and pushing the price higher, particularly the 50 SMA (yellow). They kept the uptrend quite straightforward, with EUR/USD following an ascending triangle.

EUR/USD Live Chart

Although in the last day of last month we saw a strong bearish reversal, which took this pair around 130 pips down. That was a strong sign about a bearish reversal, but today we are not seeing a follow through of that bearish move,

In fact, the decline stopped above 1.20, where it found support at the 100 SMA (green) on the H4 chart. EUR/USD has bounced around 50 pips higher now, but the 50 SMA waits above to provide resistance. The climb seems weak today, although the UK markets are closed. We will follow the price action and if we see hesitation at the 100 SMA we might open a sell forex signal.