On the daily chart, the EUR/USD pair pursues the continuation of the Flag pattern after the bullish impulse was initiated at 1.2750 on April 4th.
A breakthrough above 1.3100 took place on Tuesday which confirmed the pattern to have final projection target at 1.3400. Moreover, on Friday the pair failed to fixate below its support level around 1.3050 giving quite obvious bullish rejection and bullish daily closure.
An important supply zone located at 1.3190-1.3200 and established on April 16 was mentioned to be watched. It provided significant resistance for the pair pushing the pair back again back to 1.3100.
The upper limit of the depicted movement channel has been broken through obviously last Tuesday.
Important support level is located around 1.3060 which constituted a prominent demand zone to be watched for price action that provided a BUY entry last Friday be targeting at 1.3190, 1.3250 and finally 1.3400, while SL should be located below 1.2990.
4H closure above 1.3140 is needed to occur today in order to pursue the bullish outlook for the pair.