The euro is trading around 1.1534, rebounding after hitting the lower band of the uptrend channel formed since July 28. If the instrument consolidates above 1.1520, it could continue to rise in the coming hours.
The EUR/USD could continue its climb, so we could look for opportunities to buy above the 21-day moving average while waiting for it to reach the 7/8 Murray level around 1.1596.
Conversely, if the euro falls below 1.1520 and decisively breaks out of the uptrend channel, we could expect the technical correction to continue, potentially reaching the 6/8 Murray level around 1.1474, where EUR/USD might find strong support in that area or slightly lower around 1.1460, near the 200 EMA.
As we've mentioned on previous occasions, the euro faces strong resistance around the 200 EMA at near 1.1570 on the daily chart. If the euro reaches this zone in the coming days, we should wait to see if the price consolidates above it; if it faces rejection, this could be considered a selling opportunity.
The Eagle indicator has reached overbought levels, and a technical correction is likely to occur in the coming days. In light of these developments, we should monitor the 1.1596 area—around the 7/8 Murray level—or 1.1570 for selling opportunities.
