EURUSD continues consolidation at higher levels

Bullish pennant keeps the bulls in control. 

The EURUSD started the NY session by breaking out of a sideways trading range. The price shot up from 1.22865 to a high of 1.2330. The market has since consolidated between 1.2305 to 1.2330. A bullish pennant is forming. The lower trend line on the 5 minute comes in at 1.2316. The topside trend line comes in at 1.2323, with the two lines converging.

Taking a broader look at the hourly chart, a break higher will look toward the 1.2335. That level has been home to a number of swing level going back to March 28 (see red circles). Above that and the 50% of the move down from the March 27 high at 1.2345. That level was also the swing high from last Monday. 

If the rally fizzles and the price starts to take out the 100 bar MA on the 5-minute chart (with momentum), the price action will start to refocus on the 200 hour MA at 1.2292 currently.