Morning report


The initial support level of 0.8820; protected our suggested Elliott sequence from failure, seen on the provided daily chart. Coming again above 0.8905, along with the bullish engulfing candlestick offering the possibility of starting the impulsive fifth wave. Hence, we think that the intraday outlook is to the upside, supported by the positive divergence appearing on Stochastic.

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 0.8905 targeting 0.9000 and stop loss below 0.8820 might be appropriate.