EUR/USD Price Analysis: Bulls looking for cues for a short squeeze opportunity

• A short squeeze could be in order for the sessions ahead in EUR/USD.
• If the bulls can stay above 1.0550s then buyers will be on the lookout for a move into the 1.0620s.

EUR/USD printed fresh lows on Thursday on the third day of there being shorts in the market which gives rise to the prospects of a move up for the final stages of the week. The following illustrates such a scenario and puts the spotlight on the bearish trendline resistance.

EUR/USD daily charts

As we can see, the price is jammed in on the front side of the daily trendline still. However, a correction into shorts could be on the agenda for the end of the week to square up some of the books and that exposes the upside fo a short squeeze towards prior shorter-term support structures as follows: 

EUR/USD H1 chart

EUR/USD started out the week inside of the prior week's range so on a break of the day's lows on Tuesday,m this confirmed that there were sellers in the market and a continuation to the downside was most probable for the days ahead.

The break of the February lows on Wednesday confirmed that sellers were committed to the downside and Thursday's shorts have taken on fresh lows for the month. However, there is a three-day phenomenon in markets which concludes with a correction and given the timing of the week, a short squeeze could be in order for the sessions ahead. If the bulls can stay above 1.0550s then buyers will be on the lookout for a bullish structure to target a move into the 1.0620s and into at least Thursday's shorts if not higher.