On Friday, the EUR/USD currency pair went downwards along the lower boundary of the short-term descending channel. During today’s morning, the pair reversed north.
From a theoretical perspective, it is likely that the exchange rate could trade upwards in the nearest future, as it should target the upper channel line circa 1.1060.
However, note that the currency pair could face resistance of the 55-hour moving average, and continue to decline along the lower channel line. If the given channel does not hold, the pair could target the weekly S1 at 1.0992.
