Long term trend: Up
Medium term trend: Down
Significant Levels: 0.7690 - 0.7750 (Horizontal Support), 0.8000 (Significant Round Number and Horizontal Resistance), Downtrend Line
Currently, the price of this currency pair is at an important Support line. This area was respected by the market many times. Yesterday's candle formed just near the range of this support area (0.7690 - 0.7550) which is also an indication of its respect. The price action that would form today and in the next days would be critical. If the price breaks below the support area, we could see more of a decline in the market. Though, this is what we really want to see (the market to decline), we should consider different possibilities. For now, we are Bearish with this currency pair. We will not consider going Long on this currency pair unless both the Downtrend line and Significant Round Number (0.8000) are broken.
We'll wait for the price to break the support area and for the Daily price to close below it. That would be a confirmation of the Bearish continuation. But, even if this happened, do not immediately put a Short trade. Wait for the price to retrace back to this support area (which will then be the resistance at that time) and respect it.
Trade well.
Medium term trend: Down
Significant Levels: 0.7690 - 0.7750 (Horizontal Support), 0.8000 (Significant Round Number and Horizontal Resistance), Downtrend Line
Currently, the price of this currency pair is at an important Support line. This area was respected by the market many times. Yesterday's candle formed just near the range of this support area (0.7690 - 0.7550) which is also an indication of its respect. The price action that would form today and in the next days would be critical. If the price breaks below the support area, we could see more of a decline in the market. Though, this is what we really want to see (the market to decline), we should consider different possibilities. For now, we are Bearish with this currency pair. We will not consider going Long on this currency pair unless both the Downtrend line and Significant Round Number (0.8000) are broken.
We'll wait for the price to break the support area and for the Daily price to close below it. That would be a confirmation of the Bearish continuation. But, even if this happened, do not immediately put a Short trade. Wait for the price to retrace back to this support area (which will then be the resistance at that time) and respect it.
Trade well.