Morning Report

From these levels, we expect the pair to rebound to the upside in correctional movements confirming the bullish technical pattern seen on the stochastic indicator which may result in the pair to continue trading in an overbought area alongside the RSI which is currently above 50. This was accompanied by the ADX indicator which has adjusted to the upside to confirm the breach of the key resistance for the downside channel at 1.0355. The moving averages are attempting to adjust to the upside as well.

The trading range for today is among the key support at 1.0160 and the key resistance at 1.0610

The general trend is to the downside as far as 1.1225 remains intact with targets at 0.9600

RecommendationBased on the charts and explanations above, our opinion is buying the pair from 1.0310 to 1.0480 and stop loss below 1.0265 might be appropriate.