The daily chart shows that EUR/USD has been trading within an uptrend channel since February and is likely to continue rising to reach the April high around 1.1571. The instrument could even reach the 8/8 Murray level at 1.1714.
Therefore, it would be prudent to buy the EUR/USD pair while the price consolidates above the 21 SMA located at 1.1386. A technical rebound around this area will be seen as a buying opportunity with a target at 1.1570.
If the euro price falls below 1.1500 in the coming hours, this could be seen as an opportunity to sell. Technically, it appears overbought on the H4 chart and could likely reach 1.1380 and then resume its bullish cycle.
Conversely, a sharp break below the uptrend channel and consolidation below 1.1380 could be the key scenario for a new sequence of lows. Therefore, EUR/USD could reach the 200 EMA around the psychological level of 1.10 and even reach the February price levels around 1.0350.
