Technical outlook:
EURUSD might be carving a higher low around 1.1250-60 zone before resuming its rally. The currency has dropped to 1.1274 intraday and found some support as it trades around 1.1300 mark. Bulls are looking poised to be back in control and push through 1.1690 initial resistance on the daily chart. A break above the dropping trend line will be quite encouraging to bulls going further.
EURUSD has also produced a Morning Start candlestick pattern around the Fibonacci 0.618 retracement of the previous rally between 1.0636 and 1.2350 level. The above bullish structure would remain valid until prices stay above 1.1186 mark. Immediate price support is seen at 1.1160 while resistance is seen around 1.1690 level respectively.
The overall wave structure remains constructive for bulls and a push through 1.1383 would accelerate further. Only a consistent break below 1.1186 from here would delay matters further and attempt a test toward 1.1100.
Trading plan:
Potential rally towards 1.1690 in the near term, against 1.1100
Good luck!
