Technical outlook:
EURUSD continues its consolidation between 1.0690 and 1.0740-50 as it oscillates within a potential triangle. The currency pair is trading close to the level of 1.0715 at this point of writing and might continue to move lower to at least test 1.0670. Bears might want to hold prices below 1.0786 to keep the near-term structure intact.
EURUSD has carved a lower degree upswing between 1.0350 and 1.0786 in the past few trading sessions, which is being retraced now. Prices have reached the Fibonacci 0.382 retracement around 1.0630 and have been consolidating since then. Potential remains for a drop through 1.0520 before the pair resumes its rally.
EURUSD is overall headed higher towards 1.1080 and up to 1.1500 in the next several weeks. The boundary between 1.2350 and 1.0350 is being worked upon as bulls remain inclined to produce a bullish corrective wave at least towards 1.1080. Also, note that the 0.382 Fibonacci retracement of the entire bearish swing is also seen around 1.1080. Therefore, there is a high probability of a bearish turn.
Trading plan:
Potential rally through 1.1080 against 1.0350.
Good luck!
