The pair has reached our previous defined short term soft technical objective at 76.4% Fibonacci retracement of the entire downside rally from 1.6615 to the significant low of 1.5270. Now, we can see how the pair started to correct mildly since our target has meet the lower -support- line of the descending channel that dominates the bearish trend. In the interim, RSI 14 reflects oversold case, but we believe that the bearish journey will continue due to the negativity appearing on bigger time frames; noting that the intraday correction may extend towards 61.8% retracement before moving lower once more. Ultimately, break below 1.5480 will cancel out the technical idea of re-testing 61.8% retracement.
The trading range for today is among key support at 1.5270 and key resistance at 1.5820.
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 around 1.5590 targeting 1.5375 and stop loss above 1.5760 might be appropriate.|