Classically speaking, the pair has been capable of forming a continuation pattern pennant pattern as seen on the provided hourly chart. Coming below SMA 50 also indicated that the bearishness could dominate the movements over intraday basis. To avoid the fluctuation that happened since yesterday we will focus on 105.40 as a soft target for the time being and we will look at SMA 50 as a ceiling that should protect the outlook.
The trading range for today is among key support at 104.90 and key resistance now at 108.50.
The general trend over short term basis is to the downside, targeting 97.90 as far as areas of 132.50 remain intact.
|Recommendation||Based on the charts and explanations above our opinion is, selling the pair around 106.95 targeting 105.40 and stop loss above 108.20 might be appropriate.|