EURUSD’s Recent Rally Signals Potential Uptrend

The EURUSD pair has shown significant momentum, bouncing from 1.1001 to reach a high of 1.1146. This move has broken through the resistance of the falling price channel on the 4-hour chart, suggesting that the previous downward movement from 1.1201 may have concluded at 1.1001.

Currently, the pair appears to be in an uptrend from the 1.1001 level. The recent pullback from 1.1146 is likely a consolidation phase within this broader upward movement.

In the coming days, we might see range-bound trading between 1.1070 and 1.1146. If the 1.1070 support level holds, the upward trajectory from 1.1001 could continue. A breakthrough above the 1.1146 resistance might pave the way for further gains, potentially targeting the 1.1200 resistance level. Should this level be surpassed, the next target could be the 1.1240 area.

Traders should keep an eye on the 1.1105 level as initial support. If the price breaks below this point, it could retreat to the 1.1070 support level.

by ForexCycle