Technical outlook:
EURUSD might have carved a meaningful low around 1.0470 mark over the last week. The single currency pair has rallied through 1.0590 level thereafter before pulling back. It is seen to be trading around 1.0520 mark at this point in writing and is expected to hold above 1.0470 potential support going forward.
EURUSD has dropped from 1.1200 through 1.0470 levels in the past four weeks but the RSI on daily chart has refrained from printing fresh lows. This could be taken as bullish divergence, which indicates potential trend reversal ahead. A bullish candlestick pattern is still awaited on the daily chart to confirm.
EURUSD faces stiff immediate resistance around 1.0930 followed by 1.1200 mark respectively. A break above 1.0930 will be considered as confirmation of a potential trend reversal ahead. On the flip side, a break below 1.0470 would indicate further downside towards 1.0350 lows going forward.
Trading plan:
Potential rally towards 1.0930 and 1.1200 against 1.0300
Good luck!
