EUR/USD Price Analysis: Daily correction before further upside, 1.0950s eyed

• EUR/USD bulls taking on the bears with eyes to 1.0950.
• The daily cancel or this week's candle need to close in the green.

As per the prior analysis, EUR/USD Price Analysis: Weekly bullish M-formation is starting to play out, the bulls have eyed the M-formation on the weekly chart. Following the prior session's sharp rally, there has been a correction on Thursday to mitigate the imbalance of price. In due course, an onwards continuation could be on the cards. 

EUR/USD weekly chart

The M-formation is a reversion pattern and the bulls will be eyeing the neckline in order to mitigate the imbalance of the price. The area can be targeted from a lower time frame perspective. The daily chart is the first place to start such analysis in order to determine the progress of the formation of a bullish structure. 

EUR/USD daily chart

The price has subsequently rallied towards the neckline of the M-formation following the bullish candlestick pattern with the doji followed by the bullish engulfing candle. However, there has been a strong rejection and the bulls will want to see the daily candle close higher than the prior days in order to add conviction to the upside thesis. That being said, so long as the week closes in the green, there will be prospects of a bullish continuation for next week.