In the early American session, EUR/USD is trading around 1.0650, forming a symmetrical triangle pattern from the low of 1.0631. It is expected that in the next few hours, the pair could resume its bearish cycle and reach -2/8 Murray located at 1.0620.
On September 14, the eagle indicator reached a low of 5 points which represents a strong technical rebound. Given that the pair is oversold, in the coming hours, we could expect a consolidation above the 21 SMA located at 1.0664.
For the euro to resume its bullish cycle, we should expect it to consolidate above the 200 EMA located at 1.0713, and then the next target could be 1/8 Murray located at 1.0803.
The market will focus on the monetary policy decision in the United States as this factor could keep the euro under downward pressure. In the meantime, the euro is expected to consolidate around 1.0713 to 1.0620 in the coming days.
Our trading plan for the next few hours is to wait for the euro to consolidate above the 21 SMA or above -1/8 Murray to buy with targets at 1.0713 and 1.0742. The eagle indicator is giving a positive signal which supports our bullish strategy.
