Morning Report

The pair has witnessed some minor bearish correction after moving to the upside from yesterday, despite of ruling out more bearish correction due to the effect of the negative reversal appearingon Stochastic. However, the pair is still trading within the bullish channel, where its chief support is at 1.2950 and any trading above this level the pair can expect to witness more bullish intraday movement. The harmonic pattern has taken the shape of a AB=CD pattern and rebounded yesterday from 127% from the BC leg, although we see that the pattern formation is close to flawless it makes us expect that the CD leg could continue to reach 161.8% at 1.3210.

The trading range for today is among the key support at 1.2885 and the key resistance at 1.3280.

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

Previous Report

Weekly ReportSupport1.30301.29901.29501.29351.2885Resistance1.30301.30651.31151.31651.3210RecommendationBased on the charts and explanations above our opinion is buying the pair around 1.3030 targeting 1.3210 and stop loss below 1.2935, might be appropriate.