The EUR/USD continued its 3 day rally overnight. The bulls see a head and shoulders bottom on the daily chart. The bears see a trading range in a bear trend, and therefore a bear flag. They are both right. Every trading range has both a reasonable bottom and top, and the probability of a successful bull breakout is about the same as that for a bear breakout. This is a breakout mode situation. Until there is a breakout, traders on the daily chart will continue to buy low, sell high, and take quick profits. Since the trading range is sideways and has had 3 pushes up or down (there are 3 clear pushes up), it is also a triangle, which is a tight trading range. Knowing that does not help traders. They will scalp within a tight trading range, no matter what they call it.
The 60 minute chart is in the middle of the range, which is where bulls begin to take profits and bears begin to short. The top of the range is around 1.0980, which is about 30 pips above the current price, and the top of a range is always a magnet.
The 60 minute bulls have a 2 hour breakout, with about an hour before the NYSE opens. The bars are not very big, and the context is not good for swing traders, but a measured move up is around the top of the yearlong range. This means that the upside is probably limited to a test of the top of the range, and then the odds favor another test down. Until there is a strong breakout up or down, traders will be hesitant to swing trade. The context is good for a rally today, but the breakout so far is weak and it is more likely going to become just another leg in the trading range. This means that traders will continue to scalp, even though the 5 minute trend is up. They will bull pullbacks until there is a reversal down, and they will be willing to sell above prior highs for short scalps.