Early in the European session, the euro is trading around 1.1738, above the 21 SMA and above the 200 EMA. The euro could continue its rise only if it sharply breaks the downtrend channel formed since September 16 and consolidates above 1.1770.
Conversely, if the euro falls below 1.1714, a continuation of the downward movement is expected, potentially reaching the 7/8 Murray level around 1.1596.
The Eagle indicator is showing positive signals, so we will look for buying opportunities whenever the price consolidates above the 8/8 Murray level. Any pullback will be seen as an opportunity to enter long positions.
This week, data releases will bring strong market volatility, so we must be very careful when trading around the release of these data, as unexpected movements could occur.
Our trading plan for the next few hours is to buy the euro as long as the price remains above 1.1715 with targets at 1.1841, 1.19, and 62.
A contrary strategy could be to sell only if the price falls below 1.1700, then we could sell with targets at 1.1796.
