The EUR/USD made a bullish bounce at the previous bottom near 1.13. A bullish breakout could indicate a larger reversal whereas a break below 1.13 confirms a downtrend channel.
The EUR/USD is at a decision zone. A bullish breakout and reversal would confirm the current wave X-Y (pink) pattern and start a potential bullish ABC zigzag pattern.
The EUR/USD seems to have completed 5 bearish waves and could be building a potential wave 1-2 (blue) as long as price stays above the bottom and 100% Fibonacci level. A break below 1.13 invalidates this wave 1-2 pattern.