General overview for 12/06/2015 06:10 CET
The price has stuck in a very tight daily range between the intraday support at the level of 138.43 and intraday resistance at the level of 139.78. It looks like the market might be developing a triangle here, before a breakout to the downside will happen. Moreover, the key support zone, a grey rectangle labeled as supply breakthrough zone, hasn't been violated yet. This is why it is not ruled out yet, that the market might want to test some higher levels before a sell-off will begin. Only the sustained breakout above the swing high at the level of 141.05 would invalidate the bearish bias.
141.05 – Swing High|Intraday Resistance|
139.74 – Intraday Resistance
138.71 – Weekly Pivot
138.41 – Intraday Support
138.03 – 138.32 – Supply Breakthrough Zone
136.95 – Technical Support
The situation hasn't change much since yesterday and it is still advised that daytraders should consider opening buy orders only if the level of 139.75 is violated, with tight SL (20-30 pips) and TP at the level of 140.40. Otherwise, it is better to stay aside and wait for the corrective cycle to complete.
The material has been provided by InstaForex Company – www.instaforex.com