The euro is trading around 1.0825 within the downtrend channel forming since May 15, and within the main uptrend channel forming since early May.
According to the H4 chart, the euro maintains bullish momentum and could resume its bullish cycle in the coming hours if EUR/USD consolidates above 1.0825.
If the euro remains under bearish pressure, it could break the bullish trend channel and reach the 200 EMA at 1.0784.
As the euro has been strongly overbought since May 10, we now see relief in speculative activity. Thus, EUR/USD will likely resume its bullish cycle in the coming days if it consolidates above 1.0784 (200 EMA).
Our trading plan for the next few hours is to buy the euro above 1.0822 with targets at 1.0858 and 1.0895.
