Morning Report

The cable closely neared resistance for the ascending channel that organizes current trades, achieving a strong bearish reversal that has caused the breach of support for this channel that meets with the breached resistance for the previous descending channel - at 1.6310 -. This comes inline with the bearish technical pattern appearing, where its neckline has been breached - at 1.6310 as well -; therefore paving the way to achieve a more bearish trend over an intraday basis as its main target is at 1.6165. Keep in mind that the positive signs appearing through momentum indicators could impede achieving these targets. It is vital that 1.6345 remain intact to achieve these targets.

The trading range for today is among the key support at 1.6165 and the key resistance at 1.6455.

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

Weekly Report Previous Report

RecommendationBased on the charts and explanations above our opinion is selling the pair from 1.6310 targeting 1.6165 and stop loss above 1.6385, might be appropriate.