Morning Report

The major support level for the ascending channel held against the pair’s bearish attempts-currently at 1.6175- and the pair now faces a new resistance resembled in 76.4% Fibonacci correction. Stochastic is showing over bought signals which might cause fluctuations among 1.6260 and 1.6175 ahead of confirmations for the coming direction, which we expect might be favored to the upside due to 1.6260, we await the pair to gather the needed positive momentum to support the upside move and the breach in an attempt to reach the initial bullish target for today at 1.6355 and then 1.6425. Meanwhile, breaching 1.6175 to the downside renews the downside tendencies initially towards 1.5930.

The trading range for today is among the key support at 1.6000 and the key resistance at 1.6685.

The general trend is to the upside as far as 1.4840 remains intact with targets at 1.7100.

RecommendationBased on the charts and explanations above, our opinion is buying the pair with the breach of 1.6260 to 1.6355 and stop loss below 1.6175 might be appropriate