Morning Report

4-hour closing below 1.3515 was sufficient to confirm the extension of the downside movement, and currently the pair is moving towards 1.3380, which represents 78.6% Fibonacci correction of the upside movement that started from the bottom of 1.3145 reaching the top at 1.4247, where the downside movement is supported by the bearish Head and Shoulders pattern. The pair may not settle for 1.3380 and could extend the downside movement towards 88.6% Fibonacci correction at 1.3270 in case it was able to breach the first correction mentioned before. Therefore, we expect a downside movement to control the pair today, while consolidation below 1.3515 supports our negative outlook, but stability above 1.3665 again could negate our negative expectations, where this level represents the neckline of the bearish structure.

The trading range for today is among the major support at 1.3270 and the major resistance at 1.3665.

The short-term trend is to the upside with steady daily closing above 1.2795 targeting 1.5135

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Weekly Report

RecommendationBased on the charts and explanations above, our opinion is selling the pair below 1.3490, and take profit in stages at (1.3380 and 1.3270) and stop loss with 4-hour closing above 1.3565 might be appropriate