EUR/USD - consolidation? Or final weakness in the Euro??

EUR/USD pushed higher at the start of this week before strongly rejecting from the confluence between the weekly resistance zone and the key level of 1.2014. It can be argued that the overall trend for EUR/USD is still bearish, with price restricted to the monthly descending trend channel that has been in place since 2007. However, with ongoing dollar weakness there is every potential that this could be broken to the upside. As a result we are in a waiting period for EUR/USD.

If price continues to bounce within the shallow ascending daily trend channel that it currently finds itself in (a potential period of consolidation), will be looking for long positions. However, if price breaks below support at 1.1744 we will then change our perspective and begin looking for opportunities to short.