On the upside, firm break of 1.0207 will suggest that rebound from 1.0154 has completed. According to the previous events, we expect the EUR/USD pair to trade between 1.0116 and 1.0279.
The support stands at 1.0116, while daily resistance is found at 1.0279. Therefore, the market is likely to show signs of a bullish trend around the spot of 1.0116 - 1.0154.
Further recovery should motivate the pair to challenge recent highs around 1.0207 to allow for extra gains to, initially, the interim hurdle at the 50-day EMA at 1.0207.
The market is indicating a bullish opportunity above the above-mentioned support levels, for that the bullish outlook remains the same as long as the 50 EMA is headed to the upside Bias will be back on the upside for retesting 1.0279 high.
On the upside, above 1.0279 will resume the rebound to 1.0154 resistance turned support.
On the other hand, a negative outcome will be potentially bearish for the greenback. On Wednesday the Fed's favoured PCE deflator numbers will also be key. If the EUR/USD pair is able to break out the bottom at 1.0116, the market will decline further to 1.0078 in order to test the weekly support 2. Also, it should be noticed that support 1 is seen at the level of 1.0116 which coincides the daily pivot point.