Limited bullish potential

27.01.2021

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Daily chart: the market consolidation continues just below 1.2200 level. As we can see, there is no reactions from the ADX side, indicating a possible delay in the pair’s transition to a unidirectional movement, and accordingly, the current trend will continue.

Н4: local Bollinger envelopes also fully maintain yesterday’s sideways trend: support at 1.2127, resistance at 1.2190. ADX is in the flat area.

Н1: within the day there is a trend dynamics in the direction of 1.2190. But the probability of growth above this zone is insignificant, basing on the above conclusions.

Conclusions: growth to 1.2190, then decline in the direction of 1.2145 and 1.2127.
Trading solutions:
1. Buying to 1.2190.
2. Sales from 1.2190 to 1.2145.