EURUSD broke above the upper line of the price channel on daily chart, suggesting that a cycle bottom has been formed. Further rally would likely be seen over the next several weeks, and the target would be at 1.3250 area. However, the rise is treated as consolidation of downtrend from 1.4939, another fall could be expected after consolidation.
For long term analysis, EURUSD is in downtrend from 1.4939 (May 4, 2011 high). Further decline towards 1.1500 area is expected over the next several months.
