My technical study didn’t work very well yesterday. The pair attempted to push higher but only peaked at 135.36 (30 pips lower from my long target) before whipsawed to the downside, bottomed at 134.12 and closed at 134.54. As you can see in my daily chart below, price is now re-testing the trendline support indicating critical technical situation. I still prefer a bullish scenario but if we have another movement below the trendline, the bias would be unclear for me this week. Immediate support at 134.00 area. Break below that area should trigger further bearish pressure towards re-testing 133.35. Initial resistance at 135.36 (yesterday’s high). Break above that area should trigger further bullish momentum.
My technical study and strategy was completely a mess yesterday. As you can see on daily chart below, we had a bearish momentum as price once again move below my trendline support but actually downside momentum was also limited as price bounce higher and now struggling around the trendline area (red). I think we are in no trading zone now since I see no clear direction. Immediate resistance at 150.80 – 151.00 area. Break above that area should trigger further bullish momentum targeting 153.22 area. Initial support at 149.00. Break below that area could be a serious threat to the bullish outlook.
Yesterday, I said that we need a break above 0.9327 area to confirm bullish scenario, and I was right. The pair failed (so far) to break above that area and had indecisive movement. I still prefer a bullish scenario but once again, we need a clear break above 0.9327 to confirm bullish scenario targeting 0.9400 and 0.9500. Immediate support at remains at 0.9250 area. Break below that area should lead us into no trading zone.