EUR/USD demonstrates an attempt to recover after a noticeable decline

On the hourly chart, the EUR/USD pair demonstrates an attempt to recover after a noticeable decline that ended near the support level of 1.1210. The hourly chart shows an upward rebound, and the quote approached the level of 1.12860, trying to gain a foothold higher. However, there is a 200-period moving average on the growth path, which now acts as a resistance in the area of 1.1310. Overcoming this zone will be a signal of a potential continuation of the upward correction, with targets in the area of 1.1345 and above. The MACD indicator shows the formation of a bullish divergence: when updating the price low on May 28, the histogram did not confirm the new low, which indicates a weakening of the downward momentum and may support an upward reversal. At the same time, the histogram began to exit the negative zone, strengthening the recovery signal. Thus, the short-term technical picture indicates a possible development of corrective growth, but the key factor for confirming the trend change will be the breakdown of the 1.1310 zone.

Resistance levels are: 1.1310, 1.1345, 1.1410-20

Support levels are: 1.1210, 1.1130, 1.1065

The main scenario for the pair's advance assumes a breakout of MA (200) H1 (1.1310) and there may be an increase to 1.1345 (May 18 high)

An alternative scenario implies a breakout of the session low of 1.1210 and there may be a decline to 1.1130 (May 16 low).