Morning Report

Back to our harmonic analysis, where can see how the pair succeeded in achieving a breakout above 76.4% Fibonacci retracement of CD leg of the previous discussed bullish harmonic pattern. Additionally, the pair surpassed the harmonic resistance-connecting A,C points and their extensions- during the Asian session. Thereby, we believe that the pair is on its way to achieve more positive actions over intraday basis, targeting 135.20-100% Fibonacci- followed by 138.70 zones where 127.2% extension of CD exists. This scenario is supported by stabilizing above the upper line of Keltner channel and the clear bullish sign appearing on AROON. In the interim, momentum indicators still have upside targets to be reached.

The trading range for today is among key support at 131.60 and key resistance at 137.80.

The general trend over short term basis is to the downside, targeting 118.80 as far as areas of 150.75 areas remain intact.

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Weekly Report

RecommendationBased on the charts and explanations above our opinion is, buying the pair around 133.60 targeting 136.80 and stop loss below 131.50 might be appropriate.