Technical outlook:
An hourly chart for EUR/USD has been depicted here to review the recent swing activity. The EUR/USD pair produced a shallow retracement yesterday towards 1.1406 before rallying to new highs at 1.1500 levels. It is still recommended to look for opportunities to buy at lower levels. Bulls have managed to take out yet another resistance close to 1.1500 as seen on the chart view, indicating a potential pullback should be soon underway. Also note that the RSI is showing a bearish divergence on several higher timeframes including the hourly chart, which is again a sign of a potential pullback ahead. The recent swing can be considered between 1.1289 and 1.1500 levels as for the moment, which should be retraced at least to fibonacci 0.386 levels around 1.1420, if not further. A drop towards fibonacci 0.618 at 1.1370 should be seen as an ideal price to enter long positions.
Trading plan:
Aggressive traders short @ 1.1500, stop above todays' high and target 1.1420/1.1370
Conservative traders remain flat, look to buy lower @ 1.1420/1.1370 levels.
Good luck!
