Morning report


The royal pair has formed a bullish candlestick pattern on the four-hour chart, along with a positive overlapping of Stochastic-secondary image-; supporting the potential upside expectation over the intraday basis as the short tern Elliott fifth wave of the [IM] is under way -main adily chart-. Areas of 0.8820 should hold to protect our Elliott count; otherwise a breakout below should be reconsidered.

The trading range is among the key support at 0.8760 and key resistance now at 0.9175.

The general trend is to the upside as far as 0.8020 area remains intact with targets at 1.0000 followed by 1.0400 levels.

RecommendationBased on the charts and explanations above our opinion is, buying the pair from 0.8940 targeting 0.9050 and stop loss below 0.8860 might be appropriate.