FX.co ★ Trading plan for EURUSD on July 05, 2023

Technical outlook:

EURUSD slipped close to the 1.0870 lows intraday on Wednesday before finding some support. The bulls were quick to push the price higher as the single currency pair is seen to be trading around 1.0880 at the time of writing. A push above the 1.0930-40 range will confirm that a bottom is in place and accelerate the rise towards 1.1095 levels in the near term.

EURUSD has carved a meaningful larger-degree upswing between 0.9535 and 1.1035 as discussed earlier. Furthermore, the instrument also terminated its corrective wave, a contracting triangle, around 1.0835 last week. If the above structure holds well, the bulls will most likely remain in control and push the pair through the 1.1010 high in the next few trading sessions.

EURUSD has now retraced its recent lower-degree upswing between 1.0835 and 1.0934. The price dropped through 1.0870, which is close to the Fibonacci 0.618 retracement of the above upswing. A high probability remains that the price would stay above 1.0835 and continue moving higher through 1.1010.

Trading idea:

A potential rally towards 1.1010 to resume soon.

Good luck!