EUR/USD Keeps Climbing

After the pair broke out above 1.1910, which was a local high since 1st March 2015, it has shown that there will be an even larger rally in the coming months.

I think that next week EUR/USD will reach 1.1940 – 1.1950. Whether it will have any strength left to keep rallying without a significant correction remains to be seen.

Let’s examine the RSI indicator as well.
So far it is not showing signs of divergence on any of the time frames, which means that the further rally is very possible.

Also, August is about to end, so we need to pay attention to how the monthly bar will close. Depending on how the chart will develop in the last days of the month we could make a prognosis about whether it is time for a correction or, on the contrary, the upward trend will accelerate.