Well, it was some rally in last two weeks. Bulls were riding all over bears. Bears were getting hurt all the way. It reached 3100 and still no signs of any downfall. So, why is it falling this week? Well there is no exact answer some may say its Fibonacci retracement, some may say their Stochastics giving overbuy signals, and others have their own reasons. This is a physics law that "it is not possible to move without friction". So, bulls can't keep running forever, bears will interfere.
As a result it fall steadily from 3160 to 3000 which is definitely the friction in this case as a correction is required to keep trend moving further. So, where is EU standing right now?? Is it still bull? Has it reversed? Let my chart answer that for you.
As you can clearly see, there is a giant bull flag formation in this steady fall of EU. It was also not advisable to buy at 3160 because stochastic were overbought. But now, EU still consolidating in a bull flag with Stochastic showing Oversold signal, is a nice time for bulls to rally again. There is a high probability of uptrend continuation as all indicators are in positive side which means there is a high probability of long from here. But again we can only trade based on high probability. I will buy it on the break of bull flag in 4 hr chart.