Technical outlook:
EURUSD has pulled back to the 0.9970-75 levels after rallying through the 1.0036 high last week. The single currency pair is seen to be trading close to 0.9975 at this point in writing and it is expected to resume its rally towards 1.0430 in the next few trading sessions. The bulls are poised to hold prices above the 0.9860 interim support to keep the structure intact.
EURUSD aims to resume the last leg of its larger-degree counter-trend towards 1.0730 and 1.0800 as projected on the daily chart here. The drop between 1.2350 and 0.9860 needs to be retraced before resuming lower again. The Fibonacci 0.382 retracement of the above drop seems to be passing through 1.0800 which should provide resistance.
EURUSD is currently trading close to the Fibonacci 0.618 retracement of its recent upswing between 0.9860 and 1.0198. The near-term structure remains bullish until prices stay above the 0.9860 interim support. A push above 1.0036 will trigger a further bullish price action and accelerate the rise towards the 1.0430-50 area.
Trading plan:
Potential rally towards 1.0450 and 1.0730-50 against 0.9800
Good luck!
