Technical outlook:

EURUSD dropped to 1.1560 mark over the last week, breaking below the November 2020 support around 1.1600 as highlighted on the chart here. The single currency might be preparing to pullback at least towards 1.2000 handle before deciding its further move. Please note it is also possible for a renewed rally above 1.2350, the January 6 high.

EURUSD is seen to be trading around 1.1610-15 mark at this point in writing and is looking set to hold above 1.1560 lows going forward. Immediate price resistance is seen at 1.1750, followed by 1.1850-55 and higher, while support comes in around 1.1550 levels respectively. A break above 1.1750 will be encouraging to bulls and confirm they are back in control.

On the flip side, it is possible that EURO has terminated its corrective wave, which had begun from 1.2350 level in January 2021. In that case, bulls will remain in control from here and push prices above 1.2350 mark in the next several weeks to come.

Trading plan:

Potential rally towards 1.2000 against 1.1500.

Good luck!