EURUSD is preparing to resume its rally towards 1.1500 and higher in the next few trading sessions.
The single currency pulled back to support around 1.0900 mark early Monday and is nor preparing to
carve a higher low and resume its uptrend.
EURUSD had dropped through 1.0800 levels over the last few trading sessions before finding strong
support. Bulls were back in control pushing prices through 1.1120 mark before pulling back. If 1.0800
level holds well, the above bullish structure would prevail.
EURUSD has carved lower degree Waves 1 and 2 around 1.1121 and 1.0900 levels respectively. If
correct, sharp rally should resume soon towards 1.1500 levels as Wave 3 begins to unfold. A break
above 1.1500 resistance will confirm that bulls are back in control.
EURUSD’s larger degree wave structure also remains constructive for bulls. The rally between 1.0636
and 1.2350 was an impulse labelled as Wave (1). Since then, prices have dropped in a 3-3-5
corrective wave all through 1.0800 levels, marked as Wave (2).
Traders might be preparing to initiate fresh long positions now (1.0900-10), with risk below 1.0800
levels. Near term target points through 1.1500 level before a meaningful pullback occurs.
EURUSD prepares to take on 1.1500 resistance
