Early in the American session, the EUR/USD pair is trading at 1.1124, going through a technical correction and breaking the bullish trend channel forming since September 10.
If the euro falls below 6/8 Murray and below the 21 SMA located at 1.1096 in the next few hours, it could continue its fall until it reaches 5/8 Murray at 1.1047 and finally, drops to the 200 EMA at 1.1035.
On the H4 chart, we can see that EUR/USD has a strong resistance at 1.1155. With this obstacle, it is difficult for EUR/USD to continue rising. Therefore, we reckon that a technical correction could occur in the next few days.
Meanwhile, below 7/8 Murray located at 1.1169, the outlook remains negative. So, EUR/USD could reach the psychological level of 1.10 in the short term.
