Technical outlook:
EURUSD continued its drop towards the 1.0432 lows during the early hours of the Asian session on Thursday. The single currency pair is trading above the 1.0450 mark at this point in writing and is expected to resume a rally towards 1.1100. Bulls are looking poised to hold prices above the 1.0350 mark to keep the structure intact.
EURUSD has carved a meaningful drop between 1.2266 and 1.0350 since May 2021. The currency pair is working on the above drop and looking to rally towards the 1.1100 mark, which is close to the Fibonacci 0.382 retracement of the above drop. It is probably developing the last leg within the proposed corrective rally, which is unfolding from the 1.0350 mark.
EURUSD has successfully carved a lower degree upswing between 1.0359 and 1.0615 in the past few trading sessions. The above upswing has been retraced through the Fibonacci 0.786 level close to the 1.0432 mark. Ideally, bulls would be back in control and push through 1.1100 going forward.
Trading plan:
Potential rally through 1.1100 against 1.0300
Good luck!
