EURUSD

After a long downtrend, 20 EMA (on the graph in ORANGE) shows signs of a possible uptrend.

FACT:

1. 20 EMA shows an uptrend
2. Resistance and support converge in the next few weeks
3. There are 3 ways of going after convergence:
a) above support
b) bellow resistance
c) between support and resistance

PROGNOSIS AND ACTIONS:

Depending on the case as follows
3a Price above support (UPTREND) go LONG (BUY)
Next Resistance depicted in RED DASHED LINE

3b Price bellow resistance (DOWNTREND) go SHORT (SELL)
Next Support depicted in GREEN DASHED LINE

3c Price between support and resistance (SIDEWAYS) NO ACTION

Most likely we will see case 3A. That is the reason why this is a LONG prognosis.