The pair is trading with slight positivity since morning affected by positivity on momentum indicators, while we are still waiting for some upside correction testing 122.00 areas before resuming the intraday downside move for today. The 50 EMA continues to pressure trading negatively, while the main target to the downside is located at 119.50 which is the retest resistance level for the main descending channel that was breached previously.
Thin trading volumes is clear on the above chart, where trading continued within a narrow range since yesterday however with a slight downside bias. Accordingly, the suggested bearish scenario is still valid supported by the 50 EMA. 120.75 should remain intact for our expectations to remain valid.
The trading range for the day may be among the 117.95 support and 120.75 resistance.
The short term trend is to the downside targeting 122.00 so long as 150.00 remain intact.
|Recommendation||Based on the charts and explanations above we recommend selling the pair around 120.30 targeting 119.00 and stop loss with four-hour closing above 120.75 may be appropriate|