The pair is still gathering the momentum it needs to breach through the neckline of our previous suggested under preparation classical pattern as seen on the provided four hour chart. SMA 50 still provides the pair with some kind of support but once it is breached the negativity will dominate the graph. The key support levels reside between 121.05 and 120.70, but on the other hand, a break of 123.40 with a four hour closing will damage the classical picture.
The trading range for today is among key support at 118.65 and key resistance now at 125.00.
The general trend over short term basis is to the downside, targeting 97.90 as far as areas of 132.50 remain intact.
Support121.45121.05120.70120.00119.80Resistance121.90122.30122.90123.35124.15RecommendationBased on the charts and explanations above our opinion is, selling the pair with a breakout below 121.05 targeting 118.80 and stop loss above 122.95 might be appropriate.