1. Multiple rejections of 0.7417 resistance and trading in a sideways direction between this resistance and support at 0.7178. Price action is currently indecisive and we are waiting on either the bulls or bears to take a firm hold on this pair.
2. We then see our 0.7178 support fail to hold above this key level and the bears took control of this pair with a 300+ pip sell off.
3. We naturally see a pullback and some bullish price action before bouncing off our bearish trend line nicely and seeing some further downside, forming our first lower high and lower low.
4. After experiencing more lower highs and lower lows we have had a rejection of our next level of support at 0.6560 and bounced back to retest our trend line.
5. If our support at 0.6560 holds then I anticipate a break of our bearish trend line due to holding support, a bullish engulfing candle at market close yesterday and I expect price to retest 0.6824 which is also highlighted by the elongated blue rectangle.
We also have some major fundamentals being released in the upcoming weeks so I will be keeping a close eye out for this pair.
2. We then see our 0.7178 support fail to hold above this key level and the bears took control of this pair with a 300+ pip sell off.
3. We naturally see a pullback and some bullish price action before bouncing off our bearish trend line nicely and seeing some further downside, forming our first lower high and lower low.
4. After experiencing more lower highs and lower lows we have had a rejection of our next level of support at 0.6560 and bounced back to retest our trend line.
5. If our support at 0.6560 holds then I anticipate a break of our bearish trend line due to holding support, a bullish engulfing candle at market close yesterday and I expect price to retest 0.6824 which is also highlighted by the elongated blue rectangle.
We also have some major fundamentals being released in the upcoming weeks so I will be keeping a close eye out for this pair.