On Wednesday, the EUR/USD currency pair tested the upper boundary of the falling wedge pattern. During today’s morning, the pair continued to test the given line.
From a theoretical point of view, it is likely that a reversal south could occur in the nearest future. In this case the exchange rate could gain support of the weekly and monthly S1s located in the 1.1060 area.
However, if the given pattern does not hold, it is likely that a breakout north could occur in the nearest future. In this case the currency pair could exceed the resistance formed by the 200-hour SMA, as well the weekly PP at 1.1117.
