Morning Report

The pair inclined sharply, breaching the pivotal resistance of 1.2330 but couldn't stabilize above it fro long time. The resistance line of the major descending channel is currently valued at 1.2435 represent the technical objective of the present inclining actions. The upper line of the minor bearish channel was breached and the pair is presently re-testing this broken resistance while SMA 50 is carrying the movements from below. Thereby, potential upside movements could be seen over intraday basis, targeting the aforesaid resistance. After that we should observe the price behavior carefully to pinpoint the upcoming direction. Note that, areas of 1.2240 should hold to protect this awaited scenario as it might cause a panic sell-off action after topping at 1.2385 yesterday.

The trading range for today is among the key support at 1.2170 and the key resistance at 1.2470.

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

Previous Report Weekly ReportSupport1.23101.22401.22151.21701.2085Resistance1.23851.24351.25001.25651.2615RecommendationBased on the charts and explanations above our opinion is buying the pair around 1.2310 targeting 1.2435 and stop loss below 1.2240, might be appropriate.