The pair couldn't settle above the resistance of the short term descending channel shown on image, where it settles within the minor ascending channel. At the same time, the 50 EMA forms a good support , and stochastic enters oversold areas. Accordingly, we expect a bullish move today that requires a breach of 0.8380 followed by 0.8410 in addition to stead trading above 0.8305.
The trading range for the day is expected among the keysupport at 0.8200 and the key resistance at 0.8550.
The short term trend is to the upside as far as 0.8165remains intact with targets at 1.0370.
|Recommendation||Based on the charts and explanations above we recommend buying the pair with four-hour closing above 0.8410 targeting 0.8550 and 0.8635 ,stop loss below 0.8300 OR selling the pair with four-hour closing below 0.8300 targeting 0.8170 and 0.8100 with stop loss above 0.8410|