Price:   123.16

Bias:     I think we'll get a bounce - the uncertainty is whether this will occur directly or after one more dip…

Daily Bullish:

We have an hourly bullish divergence here while 4-hour is oversold. I can't make up my mind whether we'll see a direct recovery or will need to see a dip to the 122.11-33 or even 121.66-88 areas before the recovery. Resistance is currently at 123.41 and while that caps the additional extension lower can be seen. If we see a move down to 121.66-88 first look for a bullish trade set up. Alternatively a direct break above 123.41 should see a retest of the 123.73-95 area. A move above this resistance zone would encourage follow-through to 124.54 and potentially the 125.06-23 highs.

MT Bullish:

19th March:            Having seen yesterday's losses I have to be more cautious about expecting further highs… The 121.66-88 area must support and we'll need a break above 124.00 and then 125.06-23 to suggest potential for 125.73 at least and maximum 126.64-92.

Daily Bearish: 

If we do see losses today I don't think they'll be extensive. While 123.41 caps there is still chance of a move below 122.64-78 to extend to 122.11-23 at least and probably 121.66-88. However, I feel that should be the limit of today's downside. Thus, only below 121.45-60 would extend losses through 120.94 & 120.50 towards the 119.64-75 lows.

MT Bearish:

 19th March:        Losses seen and only below 121.45-60 would extend into the 120.20-70 congestion area ahead of the 119.64-75 lows.

For access to my daily support & resistance levels please see the Daily Forecast page of my web site
For a full description of how to use the analysis please see the Analysis page of my website. The prior day's set ups for potential trading levels highlighted in the report are available on the Daily Forecast page of my web site in the Trader Package review. (+55 pips)