The pair muted at yesterday's session. It has been facing resistance at 1.1250 100Dema for 2 consecutive days. This week, data on US existing home sales and new home sales impressed dollar bulls. The Greek issue has not settled yet.
The pair is trading below the 20Dsma and 100Dema. It broken the ascending trendline and closed below that. Initially, the pair faced strong resistance at 1.1467 and the crucial line is seen at 1.1535. After the FOMC meeting, the pair formed the last leg on the higher side, but was twice rejected there.
Bears: the weekly support is found at 1.1120 and 1.1050 20Wsma. The litmus test is expected at 1.1050, a daily close below this leads to a re-test of the previous swing low at 1.0890 and 1.0820. Resistance is seen at 1.1235, 1.1250, and 1.1280. Selling on rises favours with sl 1.1280 looks good. In the H1 chart the pair probably made a double top at 1.1235. The selling accelerates below 1.1130 towards 1.1070. A panic is likely to be trigger at 1.1050 towards 1.0970, 1.0860, and even 1.0800. In the four-hour chart, the pair is heading towards lower lows.
Bulls: bulls must close above 1.1280 to regain control. In this case, they will target 1.1350, 1.1380, and even 1.1440. Intraday support is found at 1.1150 and 1.1130. Resistance is seen at 1.1235, 1.1260, and 1.1280. Risk buying is available above 1.1250. In the extreme case, the pair can extend intraday high around 1.1330. In the intraday time frames, oscillator looks oversold and a mild pullback is expected. Safe buying is seen above 1.1290 with targets at 1.1340 and 1.1380. The pair lost almost 2% this week compared to our last Friday's forecast. The pair paused its 3-week winning streak.
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