{"id":237047,"date":"2025-05-18T01:30:00","date_gmt":"2025-05-18T08:30:00","guid":{"rendered":"https:\/\/www.brookstradingcourse.com\/?p=237047"},"modified":"2025-05-17T07:28:59","modified_gmt":"2025-05-17T14:28:59","slug":"eurusd-pullback-into-the-trading-range","status":"publish","type":"post","link":"https:\/\/www.brookstradingcourse.com\/pt-br\/analysis\/eurusd-pullback-into-the-trading-range\/","title":{"rendered":"EURUSD Pullback Into the Trading Range"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">Market Overview: EURUSD Forex<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The market formed a EURUSD pullback into the trading range in a 4-bar bear microchannel on the weekly chart. If the market trades higher, the bears expect at least a small second leg sideways to down to retest the May 12 low. The bulls see the current move as a 50% pullback of the move which started from the March 27 low.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">EURUSD Forex market <\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">The <em>Weekly<\/em> EURUSD chart<\/h3>\n\n\n\n<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Weekly-Failed-Breakout-Bulls-Want-Retest-High.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"680\" height=\"383\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Weekly-Failed-Breakout-Bulls-Want-Retest-High-680x383.jpg\" alt=\"EURUSD Weekly - Failed Breakout Bulls Want Retest High, EURUSD Pullback Into the Trading Range\" class=\"wp-image-237172\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Weekly-Failed-Breakout-Bulls-Want-Retest-High-680x383.jpg 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Weekly-Failed-Breakout-Bulls-Want-Retest-High-300x169.jpg 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Weekly-Failed-Breakout-Bulls-Want-Retest-High-768x432.jpg 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Weekly-Failed-Breakout-Bulls-Want-Retest-High-1536x864.jpg 1536w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Weekly-Failed-Breakout-Bulls-Want-Retest-High.jpg 1920w\" sizes=\"auto, (max-width: 680px) 100vw, 680px\" \/><\/a><\/figure>\n\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<ul class=\"wp-block-list\">\n<li>This\u00a0week\u2019s\u00a0candlestick on the\u00a0<a href=\"https:\/\/www.investing.com\/currencies\/eur-usd\" target=\"_blank\" rel=\"noreferrer noopener\">weekly EURUSD Forex chart<\/a> was a bear bar closing around the middle of its range with prominent tails.<\/li>\n\n\n\n<li><a href=\"https:\/\/www.brookstradingcourse.com\/analysis\/weekly-shallow-eurusd-pullback\/\" target=\"_blank\" rel=\"noreferrer noopener\">Last week<\/a>, we said traders would see if the bears could create more follow-through selling over the next few weeks, or if the pullback phase would lack strong follow-through selling, remaining shallow and mostly trading sideways with long tails below candlesticks or bull bodies instead.<\/li>\n\n\n\n<li>The bears got another follow-through bear bar trading back into the trading range, but it was not a strong candlestick.<\/li>\n\n\n\n<li>They see the rally to April 21 high as a large 2-legged bull leg and a buy vacuum test of the trading range high.<\/li>\n\n\n\n<li>They want a failed breakout followed by a retest of the middle of the trading range (around the 20-week EMA).<\/li>\n\n\n\n<li>They got a reversal from a wedge pattern (Apr 3, Apr 11, and Apr 21).<\/li>\n\n\n\n<li>The move down is in the form of a 4-bar bear microchannel. That means persistent selling.<\/li>\n\n\n\n<li>If the market trades higher, they expect at least a small second leg sideways to down to retest the May 12 low.<\/li>\n\n\n\n<li>They must create more follow-through selling to increase the odds of the bear leg beginning.<\/li>\n\n\n\n<li>The bulls want a retest of the April 21 high, followed by a strong breakout and a measured move based on the height of the trading range. That would take the market to the 2021 high area.<\/li>\n\n\n\n<li>They see the current move as a 50% pullback of the move which started from the March 27 low.<\/li>\n\n\n\n<li>They want the pullback to be weak, sideways, and lacking in follow-through selling (overlapping candlesticks, doji(s), bull bars, long tails below candlesticks).<\/li>\n\n\n\n<li>If the market trades lower, they want the 20-week EMA to act as support.<\/li>\n\n\n\n<li>They must create strong bull bars to show they are back in control.<\/li>\n\n\n\n<li>The move up (Feb 28 low to Apr 21 high) was in a tight bull channel with big bull bars.<\/li>\n\n\n\n<li>The current pullback from April 21 high to May 12 low, while persistent, is relatively weaker than the leg up before it (Mar 27 low to Apr 21 high).<\/li>\n\n\n\n<li>Most breakouts from trading ranges fail. Markets have inertia and tend to continue what they have been doing.<\/li>\n\n\n\n<li>That means trading ranges (and trends) are resistant to change and tend to continue.<\/li>\n\n\n\n<li>If the bears can create strong consecutive bear bars back into the trading range, the odds of a failed breakout and the bear leg to retest the trading range low will increase.<\/li>\n\n\n\n<li>The bulls must create a strong retest and breakout above the April 21 high with sustained follow-through buying to increase the odds of a successful breakout.<\/li>\n\n\n\n<li>If the market trades higher, but is weak and forms a lower high (April 21), the odds of a lower high major trend reversal and a second leg sideways to down will increase.<\/li>\n\n\n\n<li>For now, traders will see if the bears can create more follow-through selling, testing the middle of the trading range (around the 20-week EMA).<\/li>\n\n\n\n<li>Or will the market start to stall and form a retest of the April 21 high over the next few weeks, even if it only forms a lower high?<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">The <em>Daily<\/em> EURUSD chart<\/h3>\n\n\n\n<figure class=\"wp-block-image size-large\"><a href=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Daily-Failed-Breakout-Bulls-Want-Retest-High.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"680\" height=\"383\" src=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Daily-Failed-Breakout-Bulls-Want-Retest-High-680x383.jpg\" alt=\"EURUSD Daily - Failed Breakout Bulls Want Retest High\" class=\"wp-image-237175\" title=\"\" srcset=\"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Daily-Failed-Breakout-Bulls-Want-Retest-High-680x383.jpg 680w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Daily-Failed-Breakout-Bulls-Want-Retest-High-300x169.jpg 300w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Daily-Failed-Breakout-Bulls-Want-Retest-High-768x432.jpg 768w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Daily-Failed-Breakout-Bulls-Want-Retest-High-1536x864.jpg 1536w, https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Daily-Failed-Breakout-Bulls-Want-Retest-High.jpg 1920w\" sizes=\"auto, (max-width: 680px) 100vw, 680px\" \/><\/a><\/figure>\n\n\n\n<div style=\"height:20px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The EURUSD traded lower on Monday, but there was no follow-through selling. The market then traded sideways to up but stalled below the 20-day EMA. Friday traded lower but closed with a prominent tail below.<\/li>\n\n\n\n<li><a href=\"https:\/\/www.brookstradingcourse.com\/analysis\/weekly-shallow-eurusd-pullback\/\">Last week<\/a>, we said traders would see if the bears could create strong consecutive bear bars trading back into the trading range and below the 20-day EMA, or if the pullback would be weak and sideways instead.<\/li>\n\n\n\n<li>So far, the pullback appears to be persistent, and the market is trading below the 20-day EMA.\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<\/li>\n\n\n\n<li>The bulls want a retest of the April 21 high, followed by a strong breakout and a measured move based on the height of the trading range. That would take the market to near the 2021 high area.<\/li>\n\n\n\n<li>They want the 20-day EMA or the bull trend line to be areas of support.<\/li>\n\n\n\n<li>They want a reversal from a wedge bull flag (Apr 23, May 1, and May 12).<\/li>\n\n\n\n<li>They must create strong consecutive bull bars to show they are back in control.<\/li>\n\n\n\n<li>The bears see the rally to April 21 high as a large 2-legged bull leg and a buy vacuum test of the trading range high.<\/li>\n\n\n\n<li>They want a failed breakout followed by a retest of the middle of the trading range.<\/li>\n\n\n\n<li>They got a reversal from a wedge pattern (Mar 18, Apr 3, and Apr 21) and a final flag.<\/li>\n\n\n\n<li>If the market trades higher, they want it to form a lower high major trend reversal and a double top with the April 21 high.<\/li>\n\n\n\n<li>They expect to get at least a small second leg sideways to down to retest the current leg extreme low (now May 12 low).<\/li>\n\n\n\n<li>The move from the February 28 low was strong, with big consecutive bull bars.<\/li>\n\n\n\n<li>The move could still be a bull leg and a buy vacuum within the trading range.<\/li>\n\n\n\n<li>The pullback, which started from the April 21 high, while moderate in strength (has overlapping ranges), is persistent.<\/li>\n\n\n\n<li>Markets have inertia, and odds slightly favor the trading range to continue.<\/li>\n\n\n\n<li>For now, traders will see if the bears can create more bear bars, testing the middle of the trading range.<\/li>\n\n\n\n<li>Or will the market begin to stall, forming a retest of the April 21 high within the next few weeks, even if it only forms a lower high?<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Market analysis reports archive<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">You can access all weekend reports on the <a rel=\"noreferrer noopener\" class=\"rank-math-link\" href=\"https:\/\/www.brookstradingcourse.com\/blog\/analysis\/\" target=\"_blank\">Market Analysis<\/a> page.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\" \/>\n","protected":false},"excerpt":{"rendered":"<p>Market Overview: EURUSD Forex The market formed a EURUSD pullback into the trading range in a 4-bar bear microchannel on the weekly chart. If the market trades higher, the bears expect at least a small second leg sideways to down to retest the May 12 low. The bulls see the current move as a 50% [&hellip;]<\/p>\n","protected":false},"author":2836,"featured_media":237172,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"shadow","_genesis_layout":"","footnotes":""},"categories":[1842,136],"tags":[281],"class_list":["post-237047","post","type-post","status-publish","format-standard","has-post-thumbnail","category-forex","category-analysis","tag-eurusd-forex","entry","override","shadow"],"featured_image_src":"https:\/\/www.brookstradingcourse.com\/wp-content\/uploads\/2025\/05\/EURUSD-Weekly-Failed-Breakout-Bulls-Want-Retest-High.jpg","author_info":{"display_name":"Andrew","author_link":"https:\/\/www.brookstradingcourse.com\/pt-br\/author\/andrewa\/"},"_links":{"self":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/posts\/237047","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/users\/2836"}],"replies":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/comments?post=237047"}],"version-history":[{"count":0,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/posts\/237047\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/media\/237172"}],"wp:attachment":[{"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/media?parent=237047"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/categories?post=237047"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.brookstradingcourse.com\/pt-br\/wp-json\/wp\/v2\/tags?post=237047"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}