Technical outlook:
EUR/USD rallied higher toward the 1.0970-75 zone last Friday as expected. The single currency pair found resistance there and is currently pulling back before resuming higher again. Near-term support is seen through the 1.0920-30 range and the bulls will be ready to come back in control from there. Support at 1.0630 should remain intact going forward.
EUR/USD is carving a potential triangle of a larger degree after printing the high at 1.1035 in February 2023. The currency pair has been going through a corrective phase which is likely to terminate ahead of 1.0630 in the next few trading sessions. After the triangle structure is complete, we expect another rally to materialize through the 1.1095 highs after the triangle structure is complete.
EUR/USD is currently working on a lower-degree upswing between 1.0832 and 1.0975 levels. A pullback to 1.0930 is possible before the next rally resumes towards the 1.1010 highs. Also, note that 1.0930 is close to the Fibonacci 0.382 retracement of the above upswing. Hence, the probability remains high for a bullish turn.
Trading idea:
A potential rally to resume through 1.1010 soon.
Good luck!
