The EUR/USD 240 minute Forex chart is in a trading range.
It therefore neutral, and it has reasonable buy and sell signals. The bulls see a double bottom in a broad bull channel. Yet, the bears see a small wedge lower high major trend reversal after a big wedge top.
The 240 minute EUR/USD chart is the same as it was yesterday. It is in the middle of its 4 week trading range. Since the trading range is only a 4 week pause in the bull trend on the weekly chart, it is the early stage of forming a bull flag.
Yet, the weekly chart is at major resistance and has a series of buy climaxes. It is therefore likely that the bull flag will pull back deeper and last more bars. Currently, the August 17 low is the bottom of the developing bull flag. The odds favor a test of that low whether or not there is a brief new high over the next couple of weeks. That would be about a 400 pip pullback from the current high. Since a typical pullback after a buy climax lasts 10 or more bars, the EUR/USD will probably be mostly sideways to down over the next month.
Overnight EUR/USD Forex trading
The 5 minute chart has been in 50 pip range overnight. Since it has rallied to the middle of the 4 week range, it probably will stall here. This is especially true because tomorrow has an FOMC announcement. That is often a catalyst for a big move up or down. Markets usually enter trading ranges before catalysts. Therefore day traders today will expect to be scalping, unless there is a surprise strong breakout.