A positive crossover seen on the 20 and 50 MA at 1.0125, where we see the ADX has entered a positive area to support the uptrend resulted in the pair to attempt to breach the key resistance for the short term incline, seen in the above image. These facts make us believe the pair is targeting 1.0290 (61.8% correction) and perhaps 1.0350 (76.4% correction). The journey to the upside won't be easy as the stochastic indicator has adjusted to the downside; whereas the RSI is nearing overbought areas. However, momentum indicators won't hold us back from expecting an incline since trading is above the MA crossover.
The trading range for today is among the key support at 1.0035 and the key resistance at 1.0435
The general trend is to the downside as far as 1.1225 remains intact with targets at 0.9600
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|Recommendation||Based on the charts and explanations above, our opinion is buying the pair from 1.0190 to 1.0350 and stop loss below 1.0085 might be appropriate.|