Morning Report

The cable succeeded in breaching the neckline for the bearish technical pattern, show in yesterday's midday report, at 1.6290 and is facing strong support represented in the support level for the descending channel that organizes present trades, shown in the image above. We witness some mixed fluctuations and bullish corrections today to retest thebroken level; whereas we expect an overall bearish intraday direction for today that targets 1.6200 initially to pave the way towards 1.6000, while paying attention to the bearish direction and trades remaining below 1.6490.

The trading range for today is among the key support at 1.6200 and the key resistance at 1.6490.

The general trend is to the upside as far as 1.4840 remains intact with targets at 1.7200.

RecommendationBased on the charts and explanations above our opinion is selling the pair from 1.6290 targeting 1.6200 and stop loss above 1.6360, might be appropriate.