EUR/USD. Buyers are trying to seize the initiative. | 04 July 2024

Euro supporters managed to use the previously broken boundary of the presumed final diagonal triangle as a support level and started to rise. This means not all is lost for the bullish scenario. However, it is unclear in what form the upward movement will be carried out. It currently looks like an initial diagonal triangle, but wave overlaps are minimal, so it is quite possible that we are seeing a simple impulse or an impulse with an extension. All scenarios suggest further strengthening of the euro, but after updating the local maximum established yesterday, there is a high probability of a corrective pullback. Therefore, cautious buying at current market values can be considered.