EURUSD got rejected for the 2nd time by the Ichimoku cloud (Kumo) in the 4 hour chart. This is a bearish sign.
Trend remains bearish as price is trading below the Kumo (cloud). The first rejection at 1.1210 lead to a nearly 100 pip decline towards 1.1117. Will we have a similar price action lower towards 1.1050?
In the daily chart above we see price has broken below both the tenkan- and kijun-sen. Usually price behavior like this implies that we should expect the Dollar index to move towards the daily Kumo (cloud) support around 1.10. Only a break above 1.1220 could change this short-term view.
Thank you for taking the time to catch up on my thinking.