EUR/USD Analysis
The EUR/USD intraday bias has shifted to a neutral stance due to the recent pullback, suggesting a consolidation phase might occur initially. However, as long as the 1.0855 support remains intact, the likelihood of a further rally remains high. A climb above 1.1020 would signal a continuation of the upward trend from 1.0451, targeting the 1.1278 resistance. However, this level is anticipated to pose significant resistance, potentially capping further gains.
From a broader perspective, the price movements from the 1.1278 level are interpreted as a correction in the upward trend that began from the 2022 low of 0.9538. The rise from 1.0451 is currently seen as the second phase of this pattern. Therefore, while additional upward movement is possible, any gains are expected to be confined by the 1.1278 resistance, setting the stage for the third phase of this corrective pattern.
Analysis Summary
The EUR/USD pair presents a neutral intraday bias with potential for consolidation, but a rally is anticipated as long as the 1.0855 support is maintained. The upward trend faces a significant barrier at the 1.1278 resistance, viewed as part of a broader corrective pattern from 2022’s low.
Key Points
- Neutral intraday bias with potential consolidation in EUR/USD.
- Further rally expected, contingent on 1.0855 support.
- Significant resistance is anticipated at 1.1278, limiting the upside.
