Early in the American session, the EUR/USD pair is trading around 1.0556 showing a technical correction after having reached the high of 1.0596.

The euro is under strong bearish pressure below 3/8 of Murray. So, this movement could be seen as a technical reversal. If EUR/USD falls below the 21 SMA located at 1.0530, we could expect a strong technical correction to cover the gap left at 1.0418.

Should the euro continue its rise, there is a strong barrier around 1.0620, a level that could be seen as an opportunity to sell.

The Eagle indicator is approaching overbought levels, suggesting that the bearish momentum could resume as technically, the euro is biased downwards on the daily chart. Therefore, EUR/USD could fall again below 1.060.

Key support could be found around the November 22 low at 1.0330 or the instrument could reach 1/8 Murray at 1.0376 after covering the gap (1.0418).