Morning Report

The pair continued its decline where it stabilized with consecutive four-hour closings below 61.8% Fibonacci retracement of the IM wave from 1.6165 to 1.5230 suggest a start of the huge third wave of our caught Elliott count as seen on our provided chart. In fact, breaching through the important support of 1.5730 will add further negative pressure and may confirm the bearish harmonic overview. Accordingly, we will watch out the price behaviors until it clears the aforementioned level.

The trading range for today is among key support at 1.5515 and key resistance at 1.6075.

The general trend over short term basis is to the downside, targeting 1.4225 as far as areas of 1.6875 areas remain intact.

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Harmonic Overview

RecommendationBased on the charts and explanations above our opinion is, selling the pair below 1.5730 targeting 1.5515 and stop loss above 1.5900 might be appropriate.