Technical outlook:
EUR/USD slipped further to the 1.0920-25 area during the New York session on Wednesday before finding interim support. The single currency pair is 100 pips away from its critical support at 1.0830, the triangle termination. It is seen to be trading close to 1.0930 at this point in writing and is projected to resume higher towards 1.1275 and further going forward.
EUR/USD is also testing a long-term support trend line passing through September 2022 lows at 0.9535 and 1.0830 as seen on the daily chart. Furthermore, the Fibonacci 0.786 retracement of the recent upswing between 1.0830 and 1.1275 is passing through 1.0930. A high probability remains for the bulls to come back in control soon.
EUR/USD remains at a critical juncture as traders await a reaction at the trend line support around 1.0930 levels. A bullish bounce here would resume its uptrend and continue towards 1.1500 levels; while a break lower towards 1.0830 will change the trend to bearish towards 1.0500 at least. It remains to be seen how prices react in the next 1-2 trading sessions.
Trading idea:
A potential rally to resume towards 1.1500 if 1.0830 remains intact.
Good luck!
