I Expect A Breakout To The Upside And An EUR/USD Rally To 1.20+

I expect the consolidation to end soon and for the pair to finally pick a direction.

A clear symmetrical triangle with a height at its base of 325 pips - from 1.1851 to 1.1507 - is forming on the H4 time frame.

The breakout of that triangle is impending and if it is above the resistance trend line then we can expect a rally to 1.20+.

The alternative scenario is for a breakout to the downside, below the support trend line, after which I think there will be a depreciation toward 1.1300 – 1.1280.

I think that the more probable scenario is for a rally toward 1.20+, after which we should be looking for an entry for medium term short positions.