Morning Report

Trading remained within a narrow range since yesterday, after touching the key support at 1.0550. We see that the pair still holds bearish momentum that may pressure to the downside; therefore we expect a decline for today, to support the short term trend, initially targeting the breach of the above mentioned key support which will open the way for further declines towards 1.0400 and 1.0000, respectively. The stochastic indicator is supporting the expected downtrend and is confirmed as far as trading is below 1.0660.

The trading range for today is among the key support at 1.0300 and the key resistance at 1.0915

The general trend is currently to the upside as far as 1.0550 remains intact with targets at 1.2245

RecommendationBased on the charts and explanations above, our opinion is selling the pair with the breach of 1.0550 to 1.0400 and stop loss above 1.0675 might be appropriate.