The pair moved up on Thursday, but did not manage to break the level of 1.2643 - the upper fractal (red dashed line). A small rebound down followed. Further downward move is expected today. Important news is anticipated to come out on Friday at 9:30 (pound) and 15:00 London time (dollar). Many countries celebrate Labor Day today, so the market is narrow (no strong news that could cause significant price fluctuations).
Trend analysis (Fig. 1).
The market will try to move down on Friday, from the level of 1.2595 (closing of yesterday's daily candle), with a goal to the support line of 1.2474 (red bold line).
Fig. 1 (daily chart).
Complex analysis:
- Indicator analysis - down;
- Fibonacci levels - down;
- Volumes - up;
- Candlestick analysis - down;
- Trend analysis - up;
- Bollinger Lines - up;
- Weekly schedule - up.
General conclusion:
Price will try to move down today, with a goal to the support line of 1.2474 (red bold line). From this line, the probability of work upwards is high.
Possible, but unlikely scenario: downward move from the support line - 1.2474 (red bold line), with a goal to 1.2468 - pullback level of 14.6% (blue dashed line). A break of this level will continue the bearish mood, with a goal to 1.2357 - pullback level of 23.6% (blue dashed line).
