Technical outlook:
EURUSD dropped through 1.0960 mark during the Asia Session, giving up almost 200 pips from its last week high registered at 1.1185 level. The single currency pair is trading dangerously close to its initial price support around 1.0944 and is expected to bounce back. Bulls need to keep prices above 1.0800 mark broadly, to keep the bullish structure intact.
EURUSD seems to be working upon its entire rally between 1.0800 and 1.1185 levels. It is retracing the entire rally and expected to find support around 1.0950 level, which is fibonacci 0.618 level of the above. A bullish turn there would push prices through 1.1500 mark going forward. Only a slip below 1.0800 will delay matters further.
EURUSD has bounced off the Fibonacci 0.786 retracement of its earlier larger degree upswing between 1.0636 and 1.2350 levels already. It the above structure holds well, prices should stay above 1.0800 and push through 1.1500 and 1.2350 to complete the pattern. A break above 1.1500 initial resistance will confirm that bulls are back in control.
Trading plan:
Potential rally through 1.1500 against 1.0700.
Good luck!
