In line with our classical scenario as we discussed together in the previous reports, the pair fell below SMA 50 as seen on the provided four hour chart, indicating that the right shoulder of the suggested head and shoulders top pattern might have been completed earlier. Therefore, we believe that the pair is on its way to clear the neckline areas of this reversal pattern at 112.25 zones. The intraday outlook remains bearish and a break of 112.25 will be a very negative indication.
The trading range for today is among key support at 110.50 and key resistance now at 114.75.
The general trend over short term basis is to the downside, targeting 97.90 as far as areas of 132.50 remain intact.
Support112.40112.10111.60111.05110.50Resistance112.80113.15113.60114.00114.25RecommendationBased on the charts and explanations above our opinion is, selling the pair around 112.80 targeting 110.90 and stop loss above 114.35 might be appropriate.