Yesterday's daily closing was achieved comfortably and negatively below the pivotal support areas of 1.5780 which represents 38.2% Fibonacci level of the downside move from 1.6615 to the significant low of 1.5270 as seen on the provided daily graph. This negative closing beside the bearish momentum on Stochastic will not change our neutral stance since the pair has mildly inclined above the aforesaid level during the Asian session. To make sure that Friday's closing above this level was just a false breakout above the B point of the bigger harmonic structure discussed in the weekly report, we need to witness one more closing below it. On the upside, a breach of 1.5875 will bring more bullish recovery towards the psychological level of 1.6000.
The trading range for today is among key support at 1.5555 and key resistance at 1.6075.
The general trend over short term basis is to the downsidetargeting 1.4225 as far as areas of 1.6875 areas remain intact.
|Recommendation||Based on the charts and explanations above our opinion is, staying aside until an actionable technical setup presents itself to pinpoint the next big move.|