EURUSD - Could be due for a correction, and Bund update

The EURUSD has had a great run lately, however I believe that there are growing signs that it may be due for a correction. This week's high hit 2 significant resistance levels, the low from Mid-March, which was a pivotal level through April, and the key 76.4% retracement. In addition, the entire rally from June has taken a wedge like shape, which is a bearish development; the rising trendline associated with this stands at 1.3140 today. Also momentum studies are showing clear signs of Bearish Divergence on both the Daily and shorter-term charts. A failure to take out and hold over 1.3260/1.3270 and a break below the rising trendline at 1.3140 and the low of the past 3 days at 1.3119 should put the EURUSD on the back foot. - However, (and there is always a 'However') on the plus side, weekly momentum is supportive. Furthermore the EURUSD did manage to break above a significant trendline connecting a series of highs from February through to April, in the past week. It has since consolidated above this line, which now acts as support at around 1.3100. --- For today at least, this suggests the key battlegrounds will be the 1.3100/1.3140 on the downside, and 1.3260/70 on the upside.  --- If corrective forces do start to take hold of the EURUSD, then I would favour a move back to 1.2670 - 1.2730, where I have a cluster of strong supports. On the upside a break and hold over 1.3270  could see this setting the EURUSD up for further gains towards 1.34/1.35. The chart below is the 8 hourly EURUSD chart, which shows the various levels mentioned. -

Yesterday afternoon the Bund broke the key levels which I was looking for in yesterday's post, I am now looking for further gains. On the downside I would not want to see 129.00 broken if this is going to make the strong gains which I favour, on the upside there is a hurdle at 129.86 and this is key to break if the Bund is going to make my initial target at 131-131.10.