Since reversing a months-long downward trend at the psychological level of 1.0500, EUR/USD has been trading within a broad range.
The pair has went lower from the 1.0750 area of interest, and it appears that the 4-hour Pivot Point line (1.0660) is holding off further EUR/USD selling, so we're going to be looking more closely at this pair today.
Will the EUR/USD pair recover from the 1.0660 turning point a third time and reach its 1.0750 peak again?
Bulls in EUR can profit from the consolidation occurring close to the present levels of EUR/USD and get ready for a potential rebound to the pair's historical highs.
If there is sufficient demand for EUR/USD, more bullish traders may target the 1.0850 inflection point or the R1 (1.0810) Pivot Point line.
But what if, in the ensuing trading sessions, EUR/USD breaks as a support?
The EUR/USD pair may fall lower to the S1 (1.0580) Pivot Point line, where the 100 and 200 SMAs are, if it trades and maintains its levels below the 1.0650 mid-range zone. If EUR/USD declines sufficiently over the next few days, we might potentially witness a retest of the 1.0520 range support!
Regardless of the bias you choose to trade, be sure you are aware of the typical daily volatility of EUR/USD and that you are up to current on the key players driving the market this week. You have to reduce the risks and increase the earnings, you know?
