Our suggestions: Based on the above notes, our team has their eye on the H4 113.84/114.20 ( H4 Fib ext. 127.2/161.8%) neighborhood for longs. Granted this does entail entering long just below the current daily , but what with weekly price suggesting further buying could be on the cards and the confluence (H4 support extended from the high 115.62, 114 handle and H4 approach ) seen around 113.84/114.20, a bounce north from here is considered high probability, in our opinion. Be that as it may, we would not advise trading this zone around FOMC time today, as is expected to be high.
Data points to consider: US CPI report/US retail sales both scheduled for release at 12.30pm, FOMC rate decision, economic projections and press conference at 6-6.30pm GMT .
Levels to watch/live orders:
• Buys: 113.84/114.20 (waiting for a lower-timeframe confirming signal to form is advised – this will help avoid a fakeout down to the nearby H4 demand at 113.47-113.70, stop loss: dependent on where one confirms this level).
• Sells: Flat (stop loss: N/A).