FxWirePro: ETH/EUR rejected at 21-EMA, slips below 400, drag till 355 likely

• ETH/EUR upside rejected at 21-EMA, pair slips below 400 handle to close Tuesday's trade at 396 levels.
   
• The pair retraces from session lows at 387 and is currently trading at 401 levels at the time of writing.
   
• Price action in the pair remains below major EMAs and well below the daily cloud.
   
• The pair is trading in a downward slopping channel and price is currently hovering around channel top resistance.
   
• Break above 21-EMA (412) could see further upside in the pair. Next major resistance lies at 440 (61.8% Fib).
   
• Downside has strong support at major trendline at 355, close below 5-DMA could see drag till 355 levels.
   
• Technical indicators are still bearish, but we see bullish divergence on RSI and Stochs which keeps scope for upside.

Recommendation: We prefer to wait for clear directional bias.