Morning Report

The pair moved mildly upwards during the Asian session, attacking SMA 20 once more. In the interim, yesterday's caught slant positive divergence on MACD started to be clearer as we can see the bullish crossover on its moving averages. This divergence sign may assist it to breach the initial resistance level around 76.95 to confirm the bullish scenario which is based on the classical pattern and Elliott count; noting that a break of 77.20-77.30 will accelerate the awaited wave. Conversely, areas of 75.80 will negate this analysis.

The trading range for today is among key support at 75.25 and key resistance now at 78.45.

The general trend over short term basis is to the upside targeting 87.45 as far as areas of 75.20 remain intact.

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Weekly Report

RecommendationBased on the charts and explanations above our opinion is, buying the pair above 76.95 targeting 78.80 and stop loss below 75.80 might be appropriate.