Morning Report

The negative pressure on the pair has caused a direct negative impact on momentum indicators as the pair descends towards support for the minor upside channel, shown above in the four hour chart. The last four hour closing was within this channel, supported by positive signs from Stochastic, but in return the RSI is still showing overbought signs alongside signs of a descending triangular pattern that may cause more negative pressure. These signs make us observe trading more carefully today, especially for support 1.2250 - breaching it may lead to more bearish intraday movement and resistance 1.2280 - since the breach of it will cause the previous pace for the bullish trend.

The trading range for today is among the key support at 1.2165 and the key resistance at 1.2430.

The short term trend is to the downside as far as 1.3770 remains intact with targets at 1.1700.

Previous Report Weekly ReportSupport1.22501.22151.21651.20851.2040Resistance1.22801.23351.23851.24301.2500RecommendationBased on the charts and explanations above our opinion is observing mentioned level above to insure the upcoming trend more precisely, might be appropriate.