Weekly Report (25-29 july)
The pair settled below the previously breached horizontal support at 113.65, and trading is confined among the rising wedge formation that supports the continuation of the downside move. The support of this fomation resides at 112.00, therefore, breaching the level is required to activate the formation effect which will push the pair initially toward 110.25. Stochasticshows overbought sign, supporting the suggested negativity. We have to mention that stability below 113.65 is required toactivate the expected downside move for this week.
Trading range for the week is among the major support at 108.75 and the major resistance at 114.80.
The short term trend is to the downside targeting 100.00, as long as 123.30 remain intact.
|Recommendation||Based on the charts and explanations above we recommend selling the pair with four-hour closing below 112.00 targeting 110.25 and stop loss above 113.00 may be appropriate.|