Since early September, the previous depicted downside movement was initiated with projected targets towards 1.0780 then 1.0500 where significant bullish recovery was expressed.
Shortly after, an upside breakout took place above the previous movement channel. Since then, another ascending channel has been expressed.
However, The EUR/USD pair is currently overbought while breaching the upper limit of the newly established movement channel. That's why, the market will tend to decline at least towards 1.0800 for retesting.
On the other hand, the current ascending movement towards 1.1000 should be considered for a valid SELL Entry provided that no break above this upper limit can be achieved on the H4 chart.
