During Thursday morning hours, the EUR/USD currency pair broke the upper line of the medium-term descending channel.
It is likely that the exchange rate could gain support from the 55-, 100– and 200-hour moving averages in the 1.2110/1.2135 area and trade upwards in the short term. The rate could target the weekly R1 at 1.2185.
However, if the given support does not hold, a reversal south could occur in the nearest future. In this case the currency pair could re-test the psychological level at 1.2080.
