Weekly Report 27 Feb-02 March
Complementing our previously suggested Elliott wave count, we are approaching the pair from a classical point of view. The pair completed another test of the 200-days SMA today. As shown on the daily chart above, price is trading within a sideways range after breaching the main descending trend line (dashed black line) to settle above the 50-days SMA however below the 200-days SMA and the key resistance at 1.5930. RSI is a lagging price action suggesting upside attempts lack the momentum. Therefore, we hold onto our bearish expectations for this week, unless we see a breach and steady trading above 1.5930.
The trading range for this week is among key support at 1.5400 and key resistance at 1.6170.
The general trend over short term basis is to thedownsidetargeting1.4225as far as areas of 1.6875remain intact.
|Recommendation||Based on the charts and explanations above, we recommend selling the pair around 1.5900 targeting 1.5800 and 1.5645. Stop loss above 1.5950.|