The pair has sharply descended since yesterday touching 61.8% Fibonacci correction around 1.2830 and rebound to the upside calmly, due to the positive effect of momentum indicators. We expect a breach of the previous bullish channel that holds bearish targets that have no fully been achieved yet; therefore, we expect more bearish movement today towards 1.2710, although it is vital that the four hour closing is below 1.3000.
The trading range for today is among the key support at 1.2710 and the key resistance at 1.3000.
The short term trend is to the downside as far as 1.3770 remains intact with targets at 1.1700.
|Recommendation||Based on the charts and explanations above our opinion is selling the pair around 1.2925 targeting 1.2830 and stop loss above 1.3000, might be appropriate.|