The pair declined aggressively once more, clarifying that the negative divergence of the daily basis is still pressuring it negatively as seen on the provided chart. RSI 14 started to move downwards, attacking the value of 50.00 and therefore, we believe that the correctional wave might take the pair towards 61.8% Fibonacci retracement of the upside rally from B wave to 115.90 zones at 110.25. We need to witness a four hour closing below 112.40 to make sure that the bearish momentum is strong enough to take the pair towards the projected Fibonacci level. Conversely, areas of 115.60 should hold to protect our scenario.
The trading range for today is among key support at 111.05 and key resistance now at 115.60.
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 114.00 targeting 111.90 and stop loss above 115.65 might be appropriate.|