EUR/USD opened with a gap-down on May 6, then decreased to the 1.2910 support level, forming a falling wedge pattern. The formation has 64% quality and 42% magnitude in a 100-bar period.
The price dropped to the support level at 1.2904 on May 11, recovered and slowed near the resistance around 1.2944. Pair's bias remains neutral on 1H and 4H timeframes showing that forces' balance is equal. Trend-showing Alligator and SAR indicators give a Buy signal, which may lead to a bullish breakout. Long traders may focus their attention on the pattern's resistance level around 1.2939. If the price breaches this level, the initial target for long traders might be around 1.2978, where the previous local high lies.
Most of indicators on the daily timeframe give bearish signals, which increase the possibility of the pair downtrend extension in the few days or weeks. Short traders might pay their attention on the support level at 1.2900. If the price breaks this level, the initial target could be 1.1880 where the pair's support stands.