Technical outlook:

EUR/USD may pullback to near 1.0970 before resuming a rally towards 1.1075 and 1.1110 levels. After having taken off resistance at 1.1025 yesterday, it has produced a brief pullback to 1.1000 and bounced back. The current price is around 1.1020/25 levels and one should not be surprised to see a drop below 1.1000 to complete the correction. The next resistance line is 1.1075, while support is at 1.0940 respectively. Please use any dip lower as opportunities to get on the long side again against 1.0879. On the other hand, it is still possible for the euro to rally straight from here, towards resistance at 1.1075 levels, before pulling back lower. A simple trading strategy could be to remain long against 1.0879, and also add further on corrective drop. Bulls are expected to remain in control as long as prices stay above 1.0879.

Trading plan:

Remain long against 1.0879 or 1.0940, targeting 1.1075 and 1.1110

Good luck!