The daily chart of the EUR / USD Forex market is in the middle of a 4 month trading range. That means that the bulls and bears are balanced. Furthermore, a trading range always has both a reasonable buy and sell setup. The bulls want the higher low major trend reversal to lead to a 2nd leg up from the October 1 wedge bottom.However, the weekly chart has been in a bear channel for 2 years. The bears have sold every 2 - 4 week rally. They see this 3 day rally as forming a double top bear flag with the micro double top of November 6 and 7. They want a break below the October low and another new low in the 2 year bear channel.Trading ranges constantly disappoint bulls and bears. Every move up or down is more likely to reverse than to begin a trend. Consequently, this 3 day rally might test down to the November 14 low before reaching the October high.
