(EURUSD Daily Chart)
Three RSI divergences, three trend tests, three reversals. EURUSD is testing the low sloped uptrend for the third time. Each of the previous tests ends with an RSI divergence. Now the EURUSD has the same look, an RSI divergence while reversing from the trend line. If the price can stay above 1.1760, 1.20 can be the first major target for the EURUSD (1.1980-1.20 zone). Then EURUSD will face the big question, can EURUSD continue to rise despite FED tapering fears while ECB continues its loose monetary policy? Depending on the incoming data, a move to the red trend line may be possible after the 1.20 test.
