Morning Report

The pair achieved a sharp descend yesterday, although this descend remained within the ascending channel steadily, shown in the image above, where the four-hour candlestick closing was above 1.4530. Reaching resistance once more is accompanied by negative signs from momentum indicators that point so some possible bearish movement to build a base once again on channel's support level that is currently at 1.4470, and then resume the bullish direction for today initially targeting 1.4600. The breach of 1.4470 could lead to more bearish correction that may directly reach 1.4390.

The trading range for today is among the key support at 1.4390 and the key resistance at 1.4720.

The short term trend is to the downside as far as 1.5590 remains intact with targets at 1.3800.

Previous Report Weekly ReportSupport1.44701.43901.43301.42651.4230Resistance1.46001.46251.47001.47401.4780RecommendationBased on the charts and explanations above our opinion is buying the pair from 1.4470 targeting 1.4600 and stop loss below 1.4390, might be appropriate.