EURUSD has completed the Morning Star pattern on daily chart as discussed on Monday. The single currency pair managed to close well above 1.1200 mark confirming a classic bullish reversal pattern as marked on the chart. The above phenomenon indicates potential turn higher towards 1.1500 in the near term. Prices might retrace lower thereafter.
EURUSD bullish reversal signal has been accompanied with bullish divergence on the daily RSI as discussed earlier. High probability remains for bulls to come back in control from here and hold prices above 1.1121 interim support. Immediate price resistance is seen through 1.1500 mark and bulls shall remain poised to target above that.
Please note that intraday correction remains possible but prices should be well capped abead of 1.1121 mark. The overall wave structure in the EURO also remains bullish with potential toward 1.2350 highs. Watch out for a break above 1.1500 levels in the next few trading sessions to confirm bulls are back in control.
Trading plan:Potential rally toward 1.1500 against 1.1100.
Good luck!