The pair declined yesterday affected by the negativity on Stochastic after stability above the mentioned neckline of the bullish pattern, though the daily closing was below this level at 132.25; therefore, this bullish pattern was postponed until we acquire a daily closing above those areas. On the other hand, the SMA 50 is forming good support which helps Stochastic unload the negativity and the pair might then move to the upside over intraday basis, targeting the breach of the mentioned neckline and then initially towards 134.50. Areas of 130.65 must hold for our expectations to remain valid.
The trading range for today is among the key support at 129.40 and key resistance at 135.50.
The general trend over short term basis is to the downside targeting118.80as far as areas of 150.75 areas remain intact.
|Recommendation||Based on the charts and explanations above, our opinion is buying the pair around 131.40 targeting 132.70 and stop loss below 130.65 might be appropriate|