EURUSD: Buyers Preparing for a Potential Reversal MoveHello everyone, here is my breakdown of the current Euro setup.
Market Analysis
After a prolonged bearish trend that followed the formation of a clear Head and Shoulders pattern, EURUSD has transitioned into a range-bound consolidation. The market structure suggests that sellers are losing momentum, as the price has established strong support near the 1.15550 area, forming a key demand zone where buyers have shown repeated interest.
Recently, the market created a descending triangle formation, with price action coiling between the Triangle Resistance Line and Triangle Support Line. The current positioning shows that EURUSD is testing the lower boundary of this structure — an area that aligns with both historical support and the bottom of the range, forming a strong confluence zone.
My Scenario & Strategy
In my view, this setup provides an interesting long opportunity if the support around 1.15550–1.1600 continues to hold. I’m looking for a bullish reaction or confirmation signal (such as a strong breakout candle or retest) from the Triangle Support Line. If buyers successfully defend this area, I expect the price to rebound upward, breaking through the descending Triangle Resistance Line and initiating a new bullish leg within the broader structure.
My first target (TP1) for this move is the 1.17570 resistance level, which represents a key zone of prior supply and a natural technical objective for the next upward rotation.
That's the setup I'm tracking. Thank you for your attention, and always manage your risk.
