The downside pressure on the pair continues yesterday, to trade below 108.00, accompanied with the continuing negative signals on momentum indicators, the 50 EMA showed a good resistance yesterday, in addition to that, a minor ascending channel over daily basis has appeared and may be a flag continuation pattern, which points toward resuming the main down trend soon, however we need a breach below the support at 105.60 to confirm the bearish move. Overall, we willstay aside today to monitor trading around 105.60 support and 108.90 resistance.
The trading range for the week may be among the 105.40 support and 109.70 resistance.
The short term trend is to the downside targeting 94.80 so long as 123.30 remain intact.
|Recommendation||Based on the charts and explanations above we recommend staying aside awaiting more confirmations for the next move.|