The classic support levels mentioned in our previous report around 1.3970 stopped the pair's negative momentum, and supported the pair to rebound to the upside. Consolidation above this level could support the pair to enter another upside wave, while stability above the exponential moving average 200 at 1.4110 should confirm our positive outlook. A breach of 1.3910 and stability below it could negate our expectations for today, where the pair could extend the downside movement.
The trading range for today is among the major support at 1.3845 and the major resistance at 1.4365
The short-term trend is to the upside with steady daily closing above 1.2795 targeting 1.3910.
|Recommendation||Based on the charts and explanations above we recommend buying the pair around 1.4025, and take profit in stages at (1.4150 and 1.4255) and stop loss with 4-hour closing below 1.3910 might be appropriate.|