Morning report

The pair has moved sharply downwards, activating the expected potential reversal zone of the harmonic structure, particularly after breaching the harmonic trend line. Forming consecutive bearish candlesticks pattern as seen on the secondary image, helps us to expect further bearishness, based on the harmonic pattern and the continuation for the [c] wave for the short term Elliott sequence.

Trading range for today is among key support at 127.00 and key resistance now at 135.00.

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 from 131.65 targeting 129.80 and stop loss above 133.25 might be appropriate