Morning report

The royal pair inclined yesterday towards the key resistance level of Fibonacci expansion level of 0.8780, where a slight downside correction was expected-check it here-. Now we see that this movement will be limited around 0.8735 zones where the pair will gather the momentum it needs to breach the mentioned level, activating the bullish harmonic scenario, targeting 0.8905 areas. Therefore a bullish movement is in favor on the intraday basis.

Trading range is among the key support at 0.8585 and key resistance now at 0.8960.

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 0.8735 targeting 0.8825 and stop loss below 0.8660 might be appropriate.