Morning report


We see how key support levels between 0.8980 and 0.8960 have protected the royal pair from showing additional bearishness. Presently, the positive crossover appearing on Stochastic, along with the bullish candlesticks formation supports the technical idea of building a solid base, where a proposed bullish harmonic AB=CD pattern might completed. Thereby, we keep our outlook to the upside over the intraday basis as far as 0.8925-161.8% Fibonacci of BC leg- remains intact.

The trading range is among the key support at 0.8820 and key resistance now at 0.9260.

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 with a breakout above 0.9050 targeting 0.9145 and stop loss below 0.8975 might be appropriate.