Technical outlook:
The EUR/USD pair dropped close to 1.1100 yesterday, as it was discussed and expected. Please note that it has found support right at the fibonacci 0.382 retracement of the recent upswing between 1.1000 and 1.1180 levels respectively. It is quite possible that the recent corrective drop is now complete and that EUR/USD bulls are expected to remain in control going forward from here. The current price is at 1.1130 levels at this point in writing and is expected to push higher towards 1.1250 levels as an upward target the next resistance. On the flip side, if this correction is not over, prices may dip towards 1.1085 or 1.1060 levels before turning bullish again. In either case, it is a safe trading strategy to buy on dips, with risk just below 1.0879 and a potential target towards 1.1250 respectively. Please note that major support remains at 1.0879, while immediate resistance is at 1.1250 levels.
Trading plan:
Remain long against 1.0879, target 1.1250 and 1.1450.
Good luck!
The material has been provided by InstaForex Company - www.instaforex.com