Classically speaking, after achieving expectations from yesterday as the pair dropped; we see that the pair has formed a continuous bearish technical pattern that is expected to continue affecting the pair and could push it to descend more. The possibility of a bearish trend will remain intact, as long as the pair trades below 23.6% correction, shown in the image above. The stochastic is showing a slight chance of a bullish correction, as well as the RSI index that needs to exit oversold areas, which could cause bullish correction. On the overall and due to effects from the classical bearish pattern, we expect a bearish direction for the remainder of trading today.
The trading range for today could be between support 119.00 and the key resistance at 125.00.
The general trend is to the downside as far as 141.44 remains intact with targets at 88.97 and 100.00.
|Recommendation||Based on the charts and explanations above our opinion is selling the pair from 122.70 targeting 121.45 and stop loss above 123.60, might be appropriate.|