Despite Tuesday’s bearish inverted hammer at the descending trend line hurdle, the outlook remains bullish as the 5-DMA and 10-DMA are sloping upwards and the daily RSI is above 50.00 levels.
The recovery from the Asian session low of 1.0536 to 1.0660 adds credence to the above bullish argument.
The spot could re-test 1.06. However, only a break above 1.0654 (Dec 30 high) would signal continuation of the rally from 1.0340 (Jan 3 low).