The pair resumed the upside move approaching the key target around 108.10 which represents the 76.4% Fibonacci correction, the resistance for the main descending channel, and the full target of the bullish pattern that was complete with the breach of the red neckline above. Therefore, the downside reversal from this level is likely to be seen, especially as negative signals are clear on momentum indicators. Therefore, we prefer staying aside today and observing the pair around 108.10 areas, where a breach of which will extend the upside move over intraday and short term basis.
The trading range for today is expected among the key support at 105.55 and the key resistance at 109.60.
The short term trend is to the downside as far as 123.30 remains intact with targets at 94.80.
|Recommendation||Based on the charts and explanations above we recommend observing trading today awaiting more confirmations|