The 2nd half of 2013 saw the EURUSD currency pair rally over 1,000 pips. Will this rally continue into 2014? We think so. The chart below paints the EURUSD MT4 daily chart, using Ichimoku analysis, with the RSI plotted below the chart in blue.

Technical indicators used on this graph suggest a good number of bullish proponents:

• The high of February 2012 at 1.3711 was broken only recently in October 2013, and broken again in December 2013, suggesting formidable bullish momentum.
• The kumo cloud painted in purple and orange across the screen serves as a support, with prices above the kumo. There was an attempt to break below the cloud in November 2013 but this was quickly reversed. The future kumo in orange looks bullish and it is thickening.
• The Kumo also coincides with the red support trend line drawn diagonally across the chart, and this trend line should support prices.
• It is pretty much clear skies ahead from the Ichimoku lens, with no kumo shadows behind prices, and prices on the uptrend. It is worthy to note the lime green lagging Chikou Span behind prices though; if this breaks below prices, we can expect some turbulence and consolidation.
• The last time RSI broke above the 70 level was in October 2013 and since then, there is no RSI suggestion of the EURUSD being overbought. Bulls can hold their horses if RSI breaks into the overbought region above 70.