EURUSD – A decisive falling trendline breakout projects higher

EURUSD breaks above 5-week falling trendline (as shown on the daily chart) to reclaim 1.1129 (July 27 2015 high), signaling scope for further gains towards 1.1197/1.1216 next. Clearing there would trigger strength towards 1.1278 and possibly 200 day moving average currently at 1.1378 near the 5-month triangle upper bounds which may cap the current upleg. The immediate support lies at 1.1088 ahead of 1.1025. However, a downside reversal below 1.1025 would stall.

Outlook:
Short term: bullish
Long term: neutral