the EUR/USD is in a bullish trend channel and price has broken above the local resistance trend line (dotted orange). A bullish breakout could aim for the next target at 1.1410.
The EUR/USD needs a break above the local resistance level at around 1.1330 before a bullish breakout and continuation towards 1.1410 and even 1.15 becomes more likely. A bearish retracement could retest the support zone around 1.1250-1.1275, which could still act as a potential bouncing spot for more upside. The uptrend is invalidated if price manages to break below 1.1250.
The EUR/USD bullish break above 1.1330 could indicate a push higher towards the Fibonacci targets of wave 5 vs 1+3. The bullish move could complete a wave 5 (blue/purple) of either a wave 1 (pink) and a new uptrend (see chart below) or of a wave C and restart the old downtrend (alternative wave outlook not shown here). In any case a bullish move seems likely as long as price stays above the 1.1250 support zone.
For more daily wave analysis and updates, sign-up up to our ecs.LIVE channel.
Good trading, Chris Svorcik