I had pointed Inv. H&S earlier today here (EUR/USD : Inv head and shoulder in the making?) and the pair did confirm a bullish break on the hourly, however, the current candle is back below the neckline.
A failure in my opinion is a much strong sell signal in the light of next week’s ECB meeting. But again, the short trades depends on the payrolls figure.
Bloomberg poll suggests payrolls figure is likely to bounce sharply from January’s dismal figure.
Let us jot down important trading levels
Bears could come-in strong below 1.09
1.09 is a falling trend line support. A break lower would expose 1.0845 levels.