Morning Report

Click on the image for a larger view


The positive closing above our previous detected sensitive level of 136.20 argued us to focus again on the major bullish harmonic structure appearing on the provided graph. This pattern offers the probability of resuming the extended technical targets of its CD leg after having a rest on 88.6% Fibonacci level. Additionally, a new bullish probability of achieving an impulsive Elliott wave appeared where the pair is forming the internal third of the bigger third wave. Stochastic was fixed successfully as we discussed yesterday and started to be positive; whilst RSI 14 achieved stability above the value of 50.00. To conclude, we are looking forward to witness more upside actions today, mainly targeting 138.70 zones. The risk limit of this scenario resides around 134.00-134.20 areas.

The trading range for today is among key support at 132.40 and key resistance at 140.40.

The general trend over short term basis is to the downside, targeting 118.80 as far as areas of 150.75 areas remain intact.


Weekly Report

RecommendationBased on the charts and explanations above our opinion is, buying the pair around 136.20 targeting 138.70 and stop loss below 134.20 might be appropriate.