EUR/USD is trading at around 1.1419 during the European session, showing recovery after reaching the 5/8 Murray support at around 1.1352. This support gave the euro a good bullish push, but we now see signs of exhaustion.
If euro gold continues to rise, we could expect it to face the strong resistance of the 6/8 Murray level, an area that has served as a barrier for the euro in the past. Therefore, we believe that if the price reaches this level, it will be seen as an opportunity to sell.
On the other hand, if the euro undergoes a technical correction and consolidates below 1.1400 and 1.1399, where the 21SMA is located, it could be seen as a signal to sell, with targets at the 200 EMA around 1.1278 or at the bottom of the uptrend channel.
US employment data will be released this Friday and could generate strong market volatility, so we should be alert to potential resistance and support levels, which could provide an opportunity to buy or sell over the next few days.
The eagle indicator is showing a negative signal for the euro, suggesting a possible fall in the coming days. Therefore, our outlook remains bearish as long as the price consolidates below the psychological level of 1.15.
