Technical outlook:
EURUSD dropped below 0.9700 intraday on Monday in line with our projections made last week. The single currency pair is seen to be trading close to 0.9695 at this point in writing as a high probability remains for a bullish turn. Ideally, prices will stay above 0.9535 to hold the above bullish structure and push through the 1.0200 initial resistance.
EURUSD might have completed its corrective drop, which began from the 0.9999 highs last week. The currency pair has found potential support just below the 0.9700 mark, which is also the Fibonacci 0.618 retracement of the rally between 0.9535 and 0.9999 levels respectively. The final wave of a larger-degree corrective rally could resume soon now. The potential target remains at 1.0200 at least.
EURUSD faces initial resistance at around 1.0200, followed by 1.0365 and higher, while interim support is found at 0.9535 respectively. A push above 1.0200 will open the door towards 1.0365 and 1.0600 levels. Also, note that 1.0600 is close to the Fibonacci 0.382 retracement of the lager-degree drop between 1.2350 and 0.9535.
Trading plan:
Potential rally through 1.0200 and higher against 0.9500
Good luck!
