From the resistance line of our captured range trading area to the support line, the pair moved since the opening of this week. Retracing from the Asian session's recorded of 1.6265 reveals why we stood aside yesterday. Indeed, the price behaviors around the resistance level of 1.6470 and around 1.6250 represent the ideal reflection for the nature of sideways range trading. We will only depend on yesterday's bearish candlestick formation-secondary image- to predicate that, the pair may hit the support level of 1.6250. We should witness a decisive breakout below this level today, otherwise we will remain neutral.
The trading range for today is among key support at 1.6000 and key resistance at 1.6630.
The general trend over short term basis is to the downside, targeting 1.4225 as far as areas of 1.6875 areas remain intact.
|Recommendation||Based on the charts and explanations above our opinion is, selling the pair below 1.6250 targeting 1.6025 and stop loss above 1.6420 might be appropriate.|