The pair resumed the downside action, where it finally broken out of the recent range among 1.0070-0.9890, and printed a daily closing below the pivotal support at 0.9890 invalidating the bullish rebound we were anticipating. On the other hand Stochastic is within oversold areas and continues to provide a bullish divergence. Therefore we prefer staying aside this morning.
The trading range for the day is expected among the key support at 0.9800 and the key resistance at 1.0000.
The short term trend is to the upside targeting 1.0650 with steady daily closing above 0.9900.
|Recommendation||Based on the charts and explanation above , we recommend staying aside for further confirmations.|