Overview:
EUR/USD pair.
Trend: upwards.
Pivot: 1.0937.
The EUR/USD pair broke resistance, which turned into strong support at 1.0937. Right now, the pair is trading above this level. It is likely to trade in a higher range as long as it remains above the support (1.0937), which is expected to act as a major support today.
Therefore, there is a possibility that the EUR/USD pair will move upwards and the structure does not look corrective. The trend is still above the 100 EMA for that the bullish outlook remains the same as long as the 100 EMA is headed to the upside.
From this point of view, the first resistance level is seen at 1.1050 followed by 1.1145, while daily support 1 is seen at 1.0937 (50% Fibonacci retracement).
According to the previous events, the EUR/USD pair is still moving between the levels of 1.0937 and 1.1145; so we expect a range of 203 pips. Consequently, buy above the level of 1.0937 with the first target at 1.1050 so as to test the daily resistance 1 and further to 1.1145. Besides, the level of 1.1145 is a good place to take profit because it will form a double top.
On the contrary, in case a reversal takes place and the EUR/USD pair breaks through the support level of 1.0937, a further decline to 1.0826 can occur, which would indicate a bearish market.
Overall, we still prefer the bullish scenario, which suggests that the pair will stay above the zone of 1.0937 today.
