Morning Report

The initial resistance of 0.8530 is still preventing the pair from the previous expected bullish price explosion, while the pair is trapped within a very tight range since yesterday. Henceforth, we believe that it will relieve Stochastic before resuming the CD leg of the suggested harmonic butterfly pattern. Fibonacci level of 61.8% for XA leg is presently carrying the bullishness from below. To conclude, our temporal bullish scenario remains intact and we recommend reviewing the previous report for more details about the harmonic structure.

The trading range for today is among the key support at 0.8390 and key resistance now at 0.8630.

The general trend over short term basis is to the downside, targeting 0.7780 as far as areas of0.8965remain intact.

Previous Report

Weekly Report

RecommendationBased on the charts and explanations above our opinion is, buying the pair around 0.8480 targeting 0.8600 and stop loss below 0.8390 might be appropriate.