The spot rate approaches the intermediate resistance of its medium-term bullish channel at 1.3850 suggesting a decline in the short term. However a break of these levels would reach the upper limit of the bullish channel at 1.3990.
According to previous events, the market indicates a bullish opportunity as soon as the spot rate will have broken its resistance in 1.3850 with a 1st objective of 1.3940, then 1.3990. A break in 1.3830 would invalidate this scenario.
