Starting with March, the EURUSD began an uptrend which brought the price back up to 1.1400. This trend has transformed into a possible Rising Wedge. This reversal pattern combined with the fact that 1.1500 has been key resistance level for the past year and the negative divergence drawn on the 14 periods RSI give a strong bearish signal.
A break below the local support from 1.1340 would announce the beginning of a deeper corrective move. In this scenario I will be waiting for the price to hit Target 1 at 1.12000. A drop below this round number support would trigger a further drop for the Euro, targeting the next round number support and the full target of the Wedge at 1.1100.
On the other hand a break above the current resistance, 1.1428, would signal a continuation of the up move, most probably towards 1.1500.
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