In accordance with our harmonic scenario, the royal pair soared yesterday, breaching the full correctional level of XA leg of the proposed harmonic butterfly pattern decisively. Now, the pair might retest this broken resistance-turned into support- to relieve momentum indicators before resuming the projected bullishness over intraday basis, targeting 0.8665, followed by 0.8750-161.8% of XA-. AROON is still positive for the time being, adding further confirmation to our positive scenario
The trading range for today is among the key support at 0.8470 and key resistance now at 0.8730.
The general trend over short term basis is to the downside, targeting 0.7780 as far as areas of0.8965remain intact.
|Recommendation||Based on the charts and explanations above our opinion is, buying the pair around 0.8580 targeting 0.8665 and stop loss below 0.8520 might be appropriate.|