Technical outlook:
The EUR/USD pair had dropped close to 1.1180 levels yesterday as expected and discussed here. This move could be seen as the last leg within the triangle consolidation, presented on the chart here. Please note that 1.1140 levels should remain intact for the triangle to hold and the price might be now preparing to break higher towards 1.1320/60 levels going forward. Looking at the structure, the previous rally between 1.1111 and 1.1260 levels could be Wave A or 1, while the subsequent move (triangle consolidation) could be labelled as Wave B or 2. With this in place, a potential Wave C or 3 should be in the making now and the EUR/USD pair could rally up to 1.1360 as presented here. Interim support is seen at 1.1111 while resistance is at 1.1260 respectively. Watch out for a break higher any time until prices remain above 1.1111 levels.
Trading plan:
Remain long stop below 1.1140 target 1.1320 and 1.1360
Good luck!
