Midday Report

We can add further confirmations to our morning expectations for the pair’s harmonic structure which has taken the AB=CD wave and is committed to setting its targets. A negative divergence is seen on momentum indicators, while at the 100% extension level we see a bearish candlestick formation assuring the proposed reversal has been completed around 136.00 and as far as this level remains intact our expectations for a downside move over intraday basis for today will prevail.

The trading range for today is among key support at 130.50 and key resistance now at 137.40.

The general trend is to the downside as far as 141.44 remains intact with targets at 100.00 followed by 88.97 levels.

RecommendationBased on the charts and explanations above our opinion is selling the pair with the breach of 135.45 targeting 134.45 and stop loss above 136.20 might be appropriate