The pair oscillates, more or less, within a stable formation as the bulls have managed to withhold the price above the 1.1097 zone.

The price has initially dropped, since yesterday’s trading session, from as high as 1.1172 to as low as 1.1119.

Stabilization and minor bullish attempts are surfacing again slightly close to the 1.1126 level.

Probable Scenario

In the condition where the bulls are able to withhold the price close to the 1.1126 area and exert greater pressures, the pair could appreciate to 1.1172.

Similarly, the Stochastic oscillator indicates that the price has greater probabilities to escalate at the 20 level.

Alternative Scenario

In contrast, in the scenario where the pair drops to the 1.1097 area, the bears may place more pressures, and the price could decelerate to 1.1051.

Today’s Major Announcements

• Germany’s Markit Manufacturing PMI (May) and euro zone’s Markit Manufacturing PMI (May) releases will likely have a medium impact on the euro
• U.S.’s ISM Manufacturing PMI (May) and the ISM Prices Paid (May) announcements are expected to have a strong impact on the U.S. dollar

Synopsis

• Probable trend (Bullish): 1.1126
• Bullish take profit target: 1.1172
• Stop loss target: 1.1097
• Alternative trend (Bearish): 1.1097
• Bearish take profit target: 1.1051